The 2017 Audit Statement

The 2017 Audit Statement Submitted at the 2018 AGM Barry Graham with responses by Sandy McQuarrie, Treasurer

RCR ASSOCIATION FY 2017 AUDIT FINANCIAL OBSERVATIONS Audit Observations Response 1. RECORD OF TRANSACTIONS RECORD for Jan 19 shows bank deposit of Corrected $75.00 but deposit slip shows $ 150.00. Deposit Slip dated May 12 for $ 100.00 in Corrected memberships does not appear on the RECORD. 15 Dec 17 - $ 1200.00 + 2000.00 + 2452.50 + Corrected 25.00 + 5000.00 = $10677.50 and not $10767.50 although deposit slip shows $10767.50. Why the difference? 2. MONTHLY SUMMARY OF MEMBERSHIP FEES Jan - 26 memberships but only 10 receipts. The new method of tracking memberships uses a software application called Feb - 8 memberships but only 2 receipts and “Member365”. 3 PUMs but no receipts. This application allows for members to pay Mar - 15 memberships but only 5 receipts. with a credit card, a cheque or cash. In all Apr - 12 memberships but only 2 receipts and cases, the embedded financial tracking 3 PUMs but no receipts. feature provides the member with a receipt on-line. We are no longer using paper receipts May - 9 memberships but only 3 receipts and for membership fees 1 PUM but no receipt. Jun - # of memberships shows 2 but only 1 receipt and MONTHLY RUNNING MEMBERSHIP TOTALS shows 1. Jul - 3 memberships but only 1 receipt and 6 PUMS and only 1 receipt. Aug - 9 memberships but only 1 receipt. Sep - 9 memberships but only 1 receipt. Oct - 4 memberships but only 1 receipt and 2 PUMs and no receipt. Nov - 6 memberships and no receipts and 2 PUMs and no receipts. Dec - 20 memberships but only 4 receipts and 4 PUMs and no receipts. Jul - MONTHLY RUNNING MEMBERSHIP Corrected TOTALS should be $237.50 and not $837.50 and Total Membership Revenue should be $ 1437.50 and not $ 2037.50. Sep - Balance: to be deposited to Operating Corrected Bank Account should be $850.00 and not $860.00. Running Total is correct. 1

RCR ASSOCIATION FY 2017 AUDIT FINANCIAL OBSERVATIONS Audit Observations Response Oct - Total Membership Subscriptions should Corrected be $350.00 not $ 550.00. Running Totals are correct. Nov - Total Memberships Subscriptions Corrected should be $ 400.00 not $ 600.00. Running Totals are correct. YTD totals for 2017 should be $3837.50 and Member365 and the newly adapted not $4437.50 and 154 members not 153. As accounting package will help to ensure the well, the Monthly Total Balance Less (PUM) records are correct should be $6912.50 and not $7512.50, Member Total should be 277 and not 276, and the Total Membership revenue should be $9912.50 not $10512.50. 3. MISSING STATEMENTS Bank Statements for Nov and Dec and THE Corrected ROYAL CANADIAN REGIMENT ASSOCIATION FINANCIAL STATEMENTS for 01 Jan - 30 Nov and 01 Jan - 31 Dec missing. 4. COMMS EXPENDITURES 05 Dec 17 - Invoice No.17001 for Pro Patria Corrected and Postage should be $1976.00 and not $2006.50. Total expenses should be $13790.50 and not $3820.50. 5. REUNION No paperwork to substantiate reunion The payment of reunion fees to the reunion subscriptions of $2090.00 and $2015.72 to committee was based on the financial reports reunion committee. provided by the Member365 application 6. RECORD OF: Donations/Grants – IN 14 Dec Remarks – missing $ 25.00 Corrected membership amount to bring total to $5742.50. F.B. Graham A.D. McQuarrie Auditor Secretary/Treasurer COMMENT This Audit Report is based on the records provided by financial tracking system using a number of disconnected excel spreadsheets, a cheque book and a receipt book. The Association’s new process for tracking and reporting income and expenses was changed to an integrated, financial application in early January 2018. 2