Financial Audit
Examination of GSA's Financial Statements for Fiscal Years 1987 and 1986 Gao ID: AFMD-89-17 November 21, 1988GAO presented the results of its examinations of the General Services Administration's (GSA) consolidated financial statements for the fiscal years ended September 30, 1987 and 1986, and the related consolidated statements of revenues and expenses, of changes in financial position, and of reconciliation to budget reports for the fiscal years then ended.
GAO found that: (1) as a result of inaccurate information contained in two automated accounting systems, GSA vehicle inventory records were overstated by $40 million as of September 30, 1987; (2) GSA did not accurately account for motor vehicle sales; (3) GSA did not periodically verify the accuracy of its inventory records through physical counts of vehicles and subsequent reconciliation of inventory records; and (4) GSA implemented an enhancement to the Agency Contracts Register Nationwide (ACORN) system without adequate testing. GAO also found that: (1) GSA complied with the regulations for the transactions tested that could have materially affected its consolidated financial statements; and (2) the consolidated financial statements presented fairly the GSA financial position as of September 30, 1987 and 1986, except as noted, and the results of its operations, the changes in its financial position, and the reconciliation to budget reports for the fiscal years then ended, in conformity with generally accepted accounting principles applied on a consistent basis.
RecommendationsOur recommendations from this work are listed below with a Contact for more information. Status will change from "In process" to "Open," "Closed - implemented," or "Closed - not implemented" based on our follow up work.
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