Repository: UIHistories Project: Board of Trustees Minutes - 1908 [PAGE 80]

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52

UNIVEESITY OF ILLINOIS.

[Dec.

11

time to do this, even if so instructed, owing to the limited time at our disposal; but we would strongly recommend that your honorable board instruct us to do this, as the amount of cash received during the period would fully warrant this work. In this connection, we would suggest a few changes t h a t would relieve the business office of a vast amount of work that has the tendency to congest the work in a short space of time at different periods of the school year, causing errors which are vexing, and without any material gain to the University. We would mention: • First—The deposits made for laboratory supplies by students, which have to be taken in, and then later rebates made for unused deposits. One voucher alone represents $2,917.11, being rebates made to over 1,200 students, which of course represents twice 'that number of transactions in and out. Second—^The receiving of money on deposit—practically a savings bank department—which at close of business Sept. 19, 1906, amounted to $2,970.61, this amount being included in the cash on hand, although not showing on the books in any way, and constituting a heavy risk, to say nothing of the extra work involved. We would recommend the transfer of this money to some bank in your city, which would welcome the accounts that now mean a responsibility on your part. We would also recommend the adoption of a different form of voucher for cash disbursements, that would provide for blank approval spaces, to be signed by officers as authorized by your board, so that when they are audited the accountant can satisfy himself that each voucher has been approved and certified to, as instructed by your board. We attach a form of voucher for your approval, trusting it niay embody some points tjiat will meet with your approval as being correct in principle; the form, of course, is open to corrections that may readily occur to you. We would also suggest the auditing of the vouchers at least every three months, thus reducing greatly the time required in making the audit, especially where the report is wanted in a short time, as was the case in this particular instance. The cheeking of. vouchers alone required seven days, and if our suggestion as to the checking of the cash receipts should be followed, that would require much more time, if periods of six months each be followed in the future. We verified the cash book balance of June 30, 1906, bringing same up to date, counted the cash oh hand and found something in excess of the book balance, being represented, we believe, by receipts of fees, etc., which were overlooked and not credited on the cash book. These errors could be detected should you authorize this work done in future audits. We reconciled the account of Mi\ H. A. Haugan, treasurer, finding same to agree with your balance to within 10 cents after taking into consideration the items as shown on our Exhibit D, which we will adjust at our next audit. We regret that the time allowed us has been somewhat limited, and trust that our report as submitted will be satisfactory, and that the recommendations as submitted will meet with your approval. Yours very truly,

0. W. KINSELY, C. P. A.,

President.