BETHEL LUTHERAN CHURCH AND SCHOOL
AUDIT REPORT – January 7, 2004
The Bethel Audit Committee, Susan Horvath, David Lofgren
and Tom Woodell, with the help of Joan Christensen and Carol Mahoney, has
completed the internal audit of Bethel's financial statements, processes and
procedures for FY03 (7/1/02 to 6/30/03).
The Profit and Loss Statement is summarized as follows:
CHURCH SCHOOL
Total
Income $850,674 $1,694,194
Total
Expenses 882,786 1,682,574
Net
Income (Loss) ($32,111) $11,620
At year-end, the unrestricted cash available for the
Church was $46,934 and was $11,620 for the School.
Capital expenditures for FY03 were $88,994 for the
Church and School combined. The primary expenditures were for:
School
Playground Equipment $67,921
Apple iBook for staff 2,198
HVAC Improvements
Zoar/Torvend 11,200
Principal's laptop 4,206
Altar/Advent
Candleholders 3,469
Bethel contributed $84,993 during FY03 for benevolences,
including both contributions based on General Fund giving and Designated
Offerings. The largest contributions, aside from those to the Synod and
National Church, went to support ELCA missionaries Eric and Beth Hanson, to
Mount Cross Lutheran Camp and Esperanza, the organization through which our
youth and adult Missions to Mexico are sponsored. In total, over 30 organizations received contributions from
Bethel.
As of
6/30/03 Bethel's total interest bearing debt was $355,651, our primary mortgage
through Thrivent Financial @7.125%.
THE FOLLOWING WAS ACCOMPLISHED AND/OR REVIEWED
BY THE AUDIT COMMITTEE:
* Reviewed and closed out audit recommendations from
earlier fiscal years.
* Audit bank statement reconciliations.
* Review payroll records comparing gross to expensed.
* Confirm canceled checks and sample authorization,
receipts, clearing and procedures.
* Review general ledger for correct allocations.
* Review all voided checks and checks greater than 6
months old.
* Capitalize any new buildings, furnishings, equipment
and major leasehold improvements and repairs.
* Review the Youth Ministry checking account.
* Review all restricted funds.
* Review tithing disbursements and procedures.
* Review offering count/deposit procedures.
* Review contracts, leases, mortgages, notes and titles.
* Make year-end adjusting entries and close the books
for FY03.
Findings and Recommendations have been
submitted to the Church Council.
Submitted by: Susan
Horvath, David Lofgren, Tom Woodell