Department of Defense: Actions Needed to Reduce Accounting Adjustments
Abstract
DOD remains the only major federal agency that has been unable to obtain a financial statement audit opinion. One of the contributing factors is DOD's large volume of nonroutine accounting adjustments, which are used for recording corrections or adjustments in an accounting system. This report examines accounting adjustments and their effect on the reliability of DOD's financial information, the extent to which DOD has established and implemented policies and procedures for recording accounting adjustments, and the extent to which DOD has taken actions to reduce adjustments recorded at the consolidated level. For this report, GAO reviewed DOD and DFAS's policies and procedures, interviewed DOD officials about the adjustment process, and reviewed initiatives to reduce the number of adjustments being recorded. GAO also selected a random sample of 242 adjustments recorded at the DOD consolidated level for the fourth quarter of fiscal year 2018 to determine whether the adjustments were recorded in accordance with established policies.
Document Details
- Document Type
- Technical Report
- Publication Date
- Jan 01, 2020
- Accession Number
- AD1152031
Entities
People
- Anne Thomas
- Benjamin Durfee
- Carl Barden
- Dacia Stewart
- Jason D Kelly
- Jason Kirwan
- John Lopez
- Kimberly Mcgatlin
- Kristen Kociolek
- Maxine Hattery.
- Patrick Frey
- Rathi Bose
- Samuel Sawhook
- Veronica Cadiz-rodriguez
- Virginia Chanley
- Zhen Li
Organizations
- United States Government Accountability Office