Financial Audit: The Department of Defense's Fiscal Year 2004 Management Representation Letter on It's Financial Statements

摘要

The purpose of this report is to communicate our observations on the Department of Defense's (DOD) fiscal year 2004 management representation letter. Our objective is to help ensure that future management representation letters submitted by DOD are sufficient to help support Treasury and OMBs preparation of the CFS management representation letter and our ability to rely on the representations in that letter in combination with individual federal agency representation letters. We reviewed five key areas in each management representation letter: (1) signatures, (2) materiality thresholds, (3) representations, (4) summary of unadjusted misstatements, and (5) reliability of representations. In reviewing the management representation letters, we applied the American Institute of Certified Public Accountants (AICPA) Codification of Auditing Standards, AU Section 333, Management Representations; OMB Bulletin 01-02, Audit Requirements for Federal Financial Statements; and the GAO/Presidents Council on Integrity and Efficiency (PCIE) Financial Audit Manual (FAM) section 1001, entitled Management Representations.