Audit Report

Tameer-e-Millat School Behlola Charsadda

From April 1, 2013 to March 31, 2015
TMS Behlola:
The TMS Behlola was established in March, 2005. The School is located in
Behlola district Charsadda and level is up to 10th class. The boys and girls are
in separate campus. Environment and condition of the school is good.
According to February 2015 report, School details are as follows.
1. Staff Details:
Staff
Teaching &
management
Supporting
Total

Male
13
03
16

Female
11
0
11

2. Students details are as follows.

S.
Class
Sectio
M. Fee
Boys
No
n
01
PG
1
500
32
02
Nursery
1
500
29
03
K.G
1
500
35
st
04
1
2
550
53
nd
05
2
1
550
29
06
07
08
09
10
11
12
13

Girls

Orphan

Total

21
15
16

0
1
1

53
44
51

30

83

22

51

rd

600

43

19

62

th

600

35

12

47

th

5
6th
7th
8th
9th
10th

2
2
2
2
1
2

650
650
700
800
900
900

37
40
36
42
25

20
18
14
13
0

3
9
10
7
4

57
58
50
55
25

24

11

35

Total

211

50

671

3
4

460

The following items were produced for audit:

1) Cash Book
2) Ledger book
3) Monthly Fee Register
4) Payment vouchers
5) Students attendance registers
6) Staff attendance register
7) Monthly reports
8) Admission & Withdrawal Register
9) Personnel file
10)
Policy File
11)
Orphan file
12)
Seventy eight(78) Receipt Books containing following pages:
S. No
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27

Pages
23701-23800
17301-17400
17801-17900
26201-26300
17901-18000
18501-18600
17201-17300
54301-54400
54801-54900
17701-17800
17601-17700
17001-17100
28901-29000
26401-26500
54101-54200
17101-17200
54901-55000
55001-55100
55901-56000
54201-54300
54401-54500
54501-54600
54701-54800
23601-23700
26901-27000
26001-26100
55101-55200

S. No
40
41
42
43
44
45
46
47
48
49
50
51
52
52
54
55
56
57
58
59
60
61
62
63
64
65
66

Pages
29001-29100
53701-53709
23201-23300
87201-87216
29101-29200
28501-28600
24301-24326
27401-27500
28801-28900
27901-28000
23301-23400
24201-24300
115201-115235
24701-24800
23101-23200
27801-27900
28101-28200
53001-53100
27601-27700
27001-27100
26801-26900
28401-28500
27201-27300
23001-23100
53501-53600
29501-295556
53601-53700

28
29
30
31
32
33
34
35
36
37
38
39

28001-28098
48201-48295
29801-29877
55401-55470
54601-54667
53801-53849
52001-52046
54001-54039
53301-53321
53101-53119
53401-53406
53901-53904

67
68
69
70
71
72
73
74
75
76
77
78

26101-26200
100501-100550
119801-119840
28301-28349
27501-27600
25301-25400
27101-27160
24601-24656
53201-53268
24101-24200
28701-28766
29201-29253

According to Cash Book following are the Cash in Hand Balance

of TMS Behlola up to March 31, 2015.
S.
Particular
Amount
No
PRs.
1
Opening balance
39,566
2
Session 2013-14 Receipts
3,364,055
3
Session 2013-14 Payments
2,967,463
4
Session 2013-14 Balance
436,158
5
Session 2014-15 Receipts
4,715,920
6
Session 2014-15 Payments
4,232,999
7
Net Cash Balance
919,079
Bank Deposits up to March 31, 2015:
S.
No
1
2
3
4
The Above balance is
receivables following
S.
No
1
2
3

Particular

Amount
PRs.
Opening Bank Balance
2,550
Session 2013-14 Deposits
30,000
Session 2014-15 Deposits
372,000
Net Bank Balance
404,550
calculated without Receivables. Including
is the Net Cash balance of TMS BEHLOLA.
Particulars
Amount
Balance
Receivables
Balance including Receivables

919,079
523,080
1,442,177

Findings are as follows:

1. ACCOUNTING SYSTEM:
2. During the audit it was observed that the accounting system of the
TMS Behlola district Charsadda is not properly developed and
maintained in the following areas:
a) Books of accounts are not maintained according to GAAP
(Generally Accepted Accounting Principle).
b) Receivables were not recorded in the ledger book.
c)
Casting and transfer errors were found in the books of
accounts.
d) Cash book was not properly totaled.
3. Staff Personnel files were not updated.
4. Promotion and admission fee were combinedly recorded for the
session 2013-14 which was difficult to verify and identify the actual
amount of admission and promotion fee.
5. Orphan file was not updated.
6. Brother concession record file was not provided.
7. Stock register was not updated.
8. Monthly Fee notification was not provided.
9. The expenditures were recorded in advance which is totally against
the accounting rules.
10.
During audit it was observed that most of the monthly reports
balances are incorrect.
11.
The cash in hand amount are not deposited in bank account
which is against the rules and policy of the KEP.
12.
The salary increment was not provided during audit.
13.
The fees receivable amount is 523,080 which show the weakness
of the management of the TMS Behlola.
14.
During audit it was observed that the following Receipt
transactions were under, over and not recorded in cash book.

S.
Date
Receipt
R-Book
No
No
Under recorded transaction
09-04559361
6500
13
51
04-092
54963-70
3700
13

C. Book

6000
2500

Remarks

Rs.500 under recorded in Cash

Book.
Rs.1200 under recorded in Cash
Book.

04-0955086-99
13
12-064
17180-93
13
04-095
54817-22
13
12-066
17062-74
13
15-067
17383-86
13
09-128
28331-36
13
08-029
223776-81
14
14-0510
28148-54
14
28-1111
28447
14
Over recorded transactions
18-111
26952-60
13
08-062
17284-86
13
03-023
23771-75
14
11-064
24569-73
14
Not recorded transactions
26-041
55969
13
06-052
55985
13
31-083
17793-98
13
08-034
54794
14
05-045
17801
13
20-086
52037
13
7
21-0928509
3

Rs.950 under recorded in Cash

Book.
Rs.10000 under recorded in Cash
Book.
Rs.300 under recorded in Cash
Book.
Rs.10000 under recorded in Cash
Book.
Rs.1000 under recorded in Cash
Book.
Rs.600 under recorded in Cash
Book.
Rs.600 under recorded in Cash
Book.
Rs.500 under recorded in Cash
Book.
Rs.1000 under recorded in Cash
Book.

9450

8500

13600

3600

6650

6350

15050

5050

4050

3050

5750

5150

3600

3000

6900

6400

1400

400

2750

2850

Rs.100 over recorded in cash book.

1850

1950

Rs.100 over recorded in Cash Book.

4200

3200

Rs.1000 over recorded in Cash

Book.

5000

5650

Rs.650 over recorded

660

Rs.660 not recorded in Cash Book.

500

Rs.500 not recorded in Cash Book.

500

Rs.500 not recorded in Cash Book.

500

Rs.500 not recorded in Cash Book.

740

Rs.740 not recorded in Cash Book.

42500

500

Rs.42500 not recorded in Cash

Book.
Rs.500 not recorded in Cash Book.

14
07-118
53228
14
Under Posted Transaction
28-101
54457-62
13
28-022
29980-87
14
06-043
17706-08
13
31-034
144
14
21-055
11
13
Over Posted Transaction
03-021
29822-27
14
07-112
80
13
29-093
27418
14
Not posted transaction
18-111
55440-42
13

1300

Rs.1300 not recorded in Cash Book.

14150

4150

6450

4650

2000

1000

3400

340

45

15

Rs.35 under posted in Ledger Book.

3100

3800

Rs.700 over posted in Ledger Book.

40

400

Rs.360 over posted in Ledger Book.

3300

3500

4150

Rs.10000 under posted in ledger

Book.
Rs.1800 under posted in Ledger
Book.
Rs.1000 under posted in Ledger
Book.
Rs.100 under posted in Ledger
Book.

Rs.200 over recorded in Ledger

Book.
Rs.4150 not posted in Ledger Book.

15. During audit it was observed that signatures were missing on

the following Transaction.
S. No
Date
Particulars
V. No Amount
1
04-09-13 Photostats,
43
795
Refreshments
2
06-09-13 Paper Sheet
44
1265
3
06-09-13 Refreshment
45
4100
4
12-09-13 Generator, Gas
48
290528
admission
16. Proper written Approvals are not available
transactions.
S. No
Date
Particulars
Voucher
No.
1
05-10-13 2 Stabilizers
Missing
2
15-10-13 Construction
140,141,1

for the following

Amou
nt
24000
46470

03-04-14

Construction

4
5
6
7
8

30-04-14
30-04-14
11-12-14
28-02-15
31-03-15

3 Gates
Construction
Printer
Samsung mobile
Annual Program

42
2,5,10,15, 90703
17
107
15000
112,116 41370
135
9000
174
8000
0
7500

Stock Register :
During the audit it was observed that Stock/Asset Register is not
updated.
Recommendation:
1) Management should adopt their proper policy for maintaining proper
accounting record according to GAAP (Generally accepted accounting
principles).
2) The data must be recorded in soft as well.
3) Staff personnel files need to be updated.
4) Fee Receivable must be recorded in separate head name as Account
Receivable in the Ledger book.
5) After closing the session fee register must be calculated. The Fees
receivable should be recorded in ledger book as receivables.
6) Promotion and admission fee should be recorded separately.
7) There must be fee notification dully recommended from KEP
department.
8) We recommend that the accounting system should be made efficient
and up to date. All the accounting data should be properly maintained
in constant Heads concerning to nature and type of the accounting
data.
9) Written approvals must be taken from KEP for all the expenditures
more than Rs.5000.
10)

The expenditures must be recorded after the expenses incurred.

11)

The amount receivable must be received as soon as possible.

12)

The Cash in hand must be deposited in bank every month.

13)
We strongly recommend that ledger book should be prepared
according to GAAP (Generally accepted accounting principles).
At the end, we would like to place on record our special thanks and
appreciation for the management of Tameer-e-Millat School Behlola
for their support during the conduct of audit.

______________
Kaleem Anwar
Audit officer
Al-Khidmat Foundation KP Region
May 25, 2015