Basic Features and Policies
Wednesday, March 6, 13
Accrual Accounting
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A modified accrual basis of accounting shall be used.
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All expenses shall be recognized when incurred and reported in the financial statements in the period to which they relate.
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Income shall be on accrual basis except for transactions where accrual basis is impractical or when other methods are required by law.
Wednesday, March 6, 13
One Fund Concept
• NGAS adopts the one-fund concept.
• Separate fund accounting shall be done only when specifically required by law or by a donor agency or when otherwise necessitated by circumstances subject to prior approval of the Commission.
Wednesday, March 6, 13
Chart of Accounts and
Account Codes
• A new chart of accounts and code
structure with a three-digit account numbering system shall be adopted.
Wednesday, March 6, 13
Books of Accounts
• All national agencies shall maintain two sets of books, namely:
• Regular Agency (RA) Books.
• National Government (NG) Books.
Wednesday, March 6, 13
RA Books
• These shall be used to record the receipts
and utlization of Notice of Cash Allocation
(NCA) and other income/receipts which the agencies are authorized to use and to deposit with Authorized Government
Depository Bank (AGDB) and the National
Treasury.
Wednesday, March 6, 13
NG Books
• These shall be used to record income
which the agencies are not authorized to use and are required to be remitted to the
National Treasury.
Wednesday, March 6, 13
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Wednesday, March 6, 13
RA Books - Journals and Ledgers
Journals
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Cash Receipt Journal (CRJ)
Cash Disbursement Journal (CDJ)
Check Disbursements Journal (CkDJ)
General Journal (GJ)
Ledgers
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General Ledger (GL)
Subsidiary Ledgers (SL) for: Cash, Receivables, Inventories,
Investments, PPE, Construction in Progress, Liabilities, Income,
Expenses
NG Books
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