Preliminary communication
Financial Audit and Spending of Appropriations
Ivo Mijoč
; Faculty of Economics of University of Osijek
Dubravka Mahaček
; National revision department, regional office in Požega
Abstract
Local and district (regional) governments receive various forms of revenue. The entitlement to and purpose of this income is determined by law. Likewise for companies owned by local government there are revenues with allocated use, which are also associated with the budget of the local unit. The importance of proper recording of the revenue collected, as well as claims for different types of income is significant because it affects the proper presentation of the financial statements. The presented data are the basis for making decisions, which result in opportunities to meet the needs of local communities. When it comes to the disposal of revenue collected, misconduct or even illegal activities might occur. It is crucial to spot them early on, and here the internal control system and the accounting system have a key role, as they examine the financial and other information for management purposes. The aim of the paper was to investigate
irregularities in the use of local funds by examining the data obtained by Financial Audits and to show the movement of appropriations (allocated funds) at the county level.
Keywords
financial audits; local (regional) government; companies; revenues; appropriations; expenditures; legal basis
Hrčak ID:
108134
URI
Publication date:
24.7.2013.
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