Overview
In accordance with Section 12 of Chapter 11 of the Massachusetts General Laws, the Office of the State Auditor has conducted a performance audit of Mount Wachusett Community College Foundation, Inc. for the period July 1, 2017 through June 31, 2019.
We conducted this performance audit in accordance with generally accepted government auditing standards. Those standards require that we plan and perform the audit to obtain sufficient, appropriate evidence to provide a reasonable basis for our findings and conclusions based on our audit objectives. We believe that the evidence obtained provides a reasonable basis for our findings and conclusions based on our audit objectives.
Below is our audit objective, indicating the question we intended our audit to answer and the conclusion we reached regarding the objective.
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Objective |
Conclusion |
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Yes |
To achieve our audit objective, we gained an understanding of the internal controls that were relevant to the objective by conducting inquiries with the executive director and treasurer of the foundation. Additionally, we performed procedures in various areas, as described below.
Credit Cards
To ensure that all credit card purchases were for the exclusive benefit of the college, we reviewed 100% of the 149 credit card transactions made by the executive director (the foundation’s sole credit card holder) during the audit period. We reviewed the original monthly credit card statements, invoices, and evidence supporting receipt of purchases. If necessary, we reviewed the executive director’s communication records and researched the vendors to validate the nature of expenditures. We also interviewed the executive director to confirm that the expenditures were related to the college.
Check Disbursements
We identified 307 check disbursements for the audit period. We selected a nonstatistical judgmental sample of 40 expenditures (20 from each fiscal year) from the check detail report (check register). We reviewed each of the 40 transactions by reviewing supporting documentation, including invoices and evidence supporting receipt of purchases. In addition, we reviewed the executive director’s communication records and researched the vendors to validate the nature of expenditures. We also interviewed the executive director to confirm that the expenditures were related to the college.
Whenever sampling was used, we applied nonstatistical sampling; therefore, we did not project the results to the entire population.
Data Reliability
To ensure the completeness and accuracy of check transactions, we obtained copies of reconciled bank statements from the treasurer and prepared a list of all checks that cleared the bank during the audit period. To ensure the completeness and accuracy of credit card transactions, we obtained reconciled bank credit card statements from the treasurer and prepared a list of all credit card transactions from the audit period. We determined that the information obtained for our audit period was sufficiently reliable for our audit work.
| Date published: | April 13, 2020 |
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