Conducting Audit of Educational Institution

The special steps involved in their audit are the following:

  1. Examine the Trust Deed or Regulations, in the case of school or college and note all the provisions affecting accounts. In the case of a university, refer to the Act of Legislature and the Regulation framed thereunder.
  2. Read through the minutes of the meetings of the Managing Committee or Governing Body, noting resolutions affecting accounts to see that these have been duly complied with, specially the decisions as regards the operation of bank accounts and sanctioning of expenditure.
  3. Check names entered in the Students Fee Register for each month or term, with the respective Class Registers, showing names of students on rolls and test amount of fees charged; and verify that there operates a system of internal check which ensures that demands against the students are properly raised.

Incomes for Educational Institutions:

There can be various types of incomes for the educational institution. We need to check from each and every aspect to know that proper income has been credited to the bank accounts of the educational institution or not. Whether the head of the income has been properly posted or not. All the relevant expected incomes of the educational institution has been listed here: Whether the late fees have been properly taken from the students who have paid the fees late from the due date of paying the fees. In case of any concession provided to any student than the grant notice of the same, authorized by the officials of the school needs to be seen.

Audit Program – A Detailed Audit Program with Sample DraftAudit Program for In depth Scrutiny of LedgersAudit Program for Vouching and verification of TransactionFraud reporting under Companies ActAuditor’s Report on Consolidated Financial Statements

Expenditure of Educational Institution:

There can be various expenditure for the school which may be made in cash as well as in cheque. The more weighted should be on cash payments as there may be chances for fraud in such transactions.