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Old 28th Apr 2004, 22:50
  #15 (permalink)  
antechinus
 
Join Date: Aug 2002
Location: Australia
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Fixable

Mr Stab

It is fixable but in my view, not in the hands of the Hamilton incumbents.

Their solution is to sex up the accounts hoping that the problem will go away.

It won't because the accounting treatment is a diversion from the real issues :

1. In 2003 expenses reduced by 4%, income by 11%.
2. There is no treasurer, there has been no budget or cash flow, no strategic plan.
3. When the Balance Sheet appears, add the cash and debtors and subtract from this the current liabilities. This suggests that the cash flow is very tight indeed and relies on the good offices of the creditors not to push for 30 day payments.

The problem can only be fixed by decreasing expenses and/or increasing revenue. Simple.

So instead of trying to change the mind of the auditors, the committee would be better off introducing some responsibility and stewardship.
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