General Accounting

As of June 30, the General Ledger should accurately reflect the financial results of your business activity for the fiscal year. To achieve that accuracy, managers of Auxiliary and Service Enterprises and Self-Supporting Activities are responsible for preparing reports showing the value of inventory and the amount of accruals and deferrals of income and expense that must be recorded in the General Ledger.

To assist you in the closing process for fiscal year 2015-2016, we have attached the following information:

  1. Summary of Due Dates

    June 10th

    [ TO MAIL IN ] -- Inventory Count Notification Form

    July 2nd (12:00 PM)

    [ TO MAIL IN ] -- Form A   Physical Inventory

    [ TO MAIL IN ] -- Form B  Publication Inventory

    [ TO MAIL IN ] -- Form D  Work in Process Inventory

    July 8th (10:00 AM)

    [ TO MAIL IN ] -- Form C  Materials Included in Physical Inventory but not Recorded as Expense

                           -- Form E  Accrued Expense

                           -- Form F  Deferred Expense

    [ TO MAIL IN ] -- Form G  Accrued Income

    [ TO MAIL IN ] -- Form H  Deferred Income

  2. Guidelines for Reporting Finished Inventory
  3. Guidelines for Reporting Work-in-Process Inventory
  4. Guidelines for Reporting Income and Expenditure Accruals and Deferrals
  5. List of Funds:

All of the above reports should be completed and submitted for processing by the noted deadline dates for the June PRELIMINARY ledger. Departmental transactions and adjustments will not be processed after the preliminary cutoff. The exception to this will be any individual transaction or adjustment exceeding the campus materiality limit of $25,000.

Departments will be able to submit forms to General Accounting via the web. All forms should be submitted electronically, especially Forms E and F, Accrued and Deferred Expenses. When forms are sent via the web, the preparer will be prompted to send them to an approver in their department. The approver will then be responsible for submitting the final report for processing, within the stated deadlines.

If you are unable to submit forms electronically, please mail/messenger them to General Accounting, Wilshire Center 5th Floor, 143348, to the attention of the appropriate accountant, as indicated below. (For example, large inventory reports).

For your convenience, we have attached a listing of funds for each department. Funds are grouped into three categories (General Campus, Health Science, and Auxiliary and Service Enterprises). Please review the lists to identify the funds coded to your department.

Due to the automation of the re-appropriation process, ledger balances in the unexpended balance and revenue account area must be zero at fiscal year end. Campus fund managers are expected to allocate all activity in these accounts for the prelim deadline.

These responsibilities are in addition to those stated in our letter dated May 5, 2015, Subject: Fiscal Closing Instructions 2014-2015, June 30, 2015. If you have any questions about this material or are unable to open any of the attachments, please contact the accountants listed below:

General Campus Business Entities/Units Doug Willis 48739
Health Science Business Entities/Units Natasha Plengsangtip 48211
Auxiliary and Service Enterprises Dana Broadbooks 46177

Reminder: With the implementation of Statement on Auditing Standards (SAS 115) entitled Communicating Internal Control Related Matters Identified in an Audit , departments need to retain documentation, electronic or hard copy, providing proof of internal controls and their operation. Without substantiation that key controls are in operation, the auditors could identify this lack of documentation as a control deficiency and note it on their report to the Chancellor and the Regents. For your reference, SAS 112 Key Controls Documentation Sample Template is still available in the Other Accounting Guidelines on the General Accounting website.

Peter J. Larson
Associate Controller