Para 5.1.10 — MSO (Audit)
Original Rule Text
5.1.10 While checking the accounts for March, it should be seen that all correcting entries affecting the schedules of transactions with other Governments and Railways received in the Office of the Accountant General (A&E) at least up to 12th April have been given effect to.
# Ledger Accounts
What This Means
When auditing the March accounts (the final month of the financial year), auditors must verify that all correcting entries affecting inter-government and railway transaction schedules — received by the AG (A&E) office by at least April 12 — have been properly incorporated. This ensures that year-end accounts accurately reflect all adjustments between governments and railways.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Key Points
- 1Applies specifically to the audit of March (year-end) accounts
- 2All correcting entries received up to 12th April must be verified as incorporated
- 3Covers schedules of transactions with other Governments and Railways
- 4Ensures year-end closing balances are accurate and complete
- 5The cutoff date of 12th April allows a reasonable window for adjustments to flow in
Practical Example
While auditing the March accounts of a Forest Division, the auditor checks whether a correcting entry for Rs 15 lakh received from the Railway Board on April 8 (adjusting a forest produce transport charge) has been reflected in the schedules. Finding it missing, the auditor raises an observation requiring the AG (A&E) to incorporate the correction before finalizing the annual accounts.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Frequently Asked Questions
Why is the cutoff date set at 12th April specifically?▼
What happens to correcting entries received after 12th April?▼
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.