Repository: UIHistories Project: Board of Trustees Minutes - 1932 [PAGE 73]

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UNIVERSITY OF ILLINOIS PURCHASE ORDERS ISSUED IN A UGUST AMOUNTING TO $/ooo OR MOKE A ppToPriaiion

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Made in Budget Vendor Item Amount Department Fr o Babcock and Wilcox Tubular Air $5879 00 Supervising Boiler House Company Heaters Architect Addition 2531 00 Supervising Boiler House Westinghouse Electric Transformers, and Manufacturing Transformer Architect Addition Company Cutouts 2653 44 Animal Hus- Beef Cattle Producers Live Stock Cattle Commission Associbandry Station ation 1750 62 Supervising Boiler House Middle States Electric Power Panels, Company Wire Architect Addition Supervising Physical Plant Twin City Printing Chairs, CosCompany tume ra Architect Extension 1282 00 Supervising Boiler House Babcock and Wilcox Water-box Company Equipment Architect Addition Boiler Tubes 1672 38 Supervising Boiler House Joseph T. Ryerson and Sons Architect Addition 'Approved by Executive Committee of Board of Trustees, August 4, : 2Approved by President Chase, August 7, 1930. 3Arranged by Professor H. P. Rusk. ^Approved by President Chase, August 18, 1930. 6Approved by Mr. George A. Barr, August 19, 1930. H. M. Edwards Purchasing Agent •Approved by'Mr. George A. Ban, August 29, 1930. T h i s report w a s received for record.

Procedure Quoted1 Competitive2 Quoted1 Competitive Competitive* Quoted6 Competitive*

REPORT OF ARTHUR YOUNG A N D COMPANY OF THEIR AUDIT OF THE ACCOUNTS OF THE UNIVERSITY

(30) Arthur Young and Company, the public accountants retained by the Board to audit the accounts of the University, have reported on their audit for the quarter ended June 30, 1930. In connection with this report I submit the following comments from the Comptroller: September 11, 1930 President H . W . Chase, 355 Administration Dear President Chase: Arthur Young and Company, the public accountants engaged to audit the accounts of the University, have reported under date of August 18 on their audit for the quarter ended June 30, 1930. The report is in the hands of M r . Cunningham, Secretary of the Board. O n pages 1 and 3 of the report, they raise the question as to the rate of overhead on supplies issued from the Office Supply Storeroom. I submit for the information of yourself and the Finance Committee to w h o m this report m a y be referred, m y comment on the subject: Our various storerooms are operated on the basis of cost, the charge to departments for material issued to them being at a price intended to cover the purchase price and the handling expense (overhead). While I do not want to claim that the figures submitted by Arthur Young and Company are incorrect without giving them further opportunity to explain, I a m unable to verify their figures and believe that they must have made some error in adjusting the inventoryfigureswhich were as of M a y 31 to the bookfiguresas of June 30. M y information indicates a deficit of only ¥434.36 in the Office Supply Storeroom account as of June 30, 1930. I do not consider this a serious matter. The annual volume of business of this storeroom is about $60,000 and the present rate of overhead plus other credits in the form of cash discounts will easily cover the overhead expense. The condition, therefore, is, I believe, temporary. Furthermore the stores accounts are operated practi-