Accounting Systems Manual:

College of Business Administration Council

An Accounting Systems Manual

Presented to the Faculty of the Accountancy Department
College of Business Administration
Silliman University
Dumaguete City

In Partial Fulfillment of the

Requirements for Accountancy 45
Management Consultancy

Submitted by:

Angeles, Nathalie
Cadorna, Frank Lloyd
Lao, Daphne
Lubguban, Riva Dianne
Yrad, Gloria Roseni

Submitted to:

Prof. Betty Jane Y. Martinez, CPA, MBA

February 27, 2017

Table of Contents
Page
Executive Summary 1
Summary of Findings 2
Background
Profile and History 8
Vision and Mission 8
Personnel Duties and Responsibilities 8
Organizational Chart 9
Existing System
Internal Control
Control Environment 11
Risk Assessment 11
Control Activities 12
Information and Communication 12
Monitoring 12
Business Processes
Semestral Budgeting 13
Cash Collections 14
Purchasing 15
Records, Forms, and Chart of Accounts 17
Current System Flowchart 18
Findings Evaluation and Analysis
Internal Control
Control Environment 28
Risk Assessment 28
Control Activities 28
Information and Communication 29
Monitoring 29
Business Processes
Semestral Budgeting 30
 Collections 31
Purchasing 32
Records, Forms, and Chart of Accounts 33
Organizational Chart 33
Proposed System
Internal Control
Control Environment 37
Risk Assessment 38
Control Activities 39
Information and Communication 40
Monitoring 40
Proposed Vision and Mission 41
Proposed Personnel Duties and Responsibilites 42
Proposed Organizational Structure 51
Business Processes
Semestral Budgeting 52
Collections 53
Purchasing 55
Proposed System Flowchart 59
Records, Forms, and Chart of Accounts 68

EXECUTIVE SUMMARY

The College of Business Administration Student Council is the governing body of CBA

students. It is composed of a set of officers elected by the students into their positions and

each administration functions for one school year. While the CBA Council has always

performed its duties and responsibilities, it has also faced several problems in recent

years, most of which are related to finances and internal control.

This accounting manual is the product of an in-depth inquiry into and analysis of the inner

workings of the CBA Council. It presents observations of the Council’s current state of

affairs, an evaluation of its controls and processes, and comprehensive proposals for

improvement in various aspects such as organizational structure, documentation, and

cash control. While this manual is primarily a study from an accounting standpoint, its

implications extend well into managerial and administrative aspects.

1
 Observations Recommendations

Vision and Mission The CBA Council has not established its own Vision Vision:
and Mission statements. To become the model student council in
Silliman University, committed to good
governance and providing quality service
to all College of Business Administration
students.

Mission:
To conduct activities and provide services
that will enhance the quality of CBA student
life and promote a Christ-centered learning
environment
To communicate information to and from
the college and University administration
and the CBA students
To become a self-sustaining entity, capable
of sustainable growth and
development,
To serve as an example of best practices
in good governance, transparency, and
accountability
Personnel Duties and A formal document exists that details the duties and See page 42
Responsibilities responsibilities of each officer. present, locate
However, the CBA Council cannot, at the
said document.

2
Organizational Structure 1. Improper span of control
Risk: The governor might tend to do all the work.
2. The auditor reports functionally to the governor.
Risk: The governor can exert undue influence over the
auditor hence, breaching the auditor’s independence.
Semestral Budgeting Only the governor and the treasurer plans for and
prepares the budget proposal. It opens an opportunity for
connivance to occur.
Lack of sharing of ideas
The basis for the allocation of amount for each item in the
breakdown of the council fee are the historical data of the
CBA council fee and documents from other colleges only.
3
The auditor should report directly to the
advisers and administratively to the
governor.
The PRO will be under the secretary.
The college representatives report directly
to the SUSG and administratively to the
governor.
The committee heads report directly to the
vice-governor internal while the year-level
presidents report directly to the
vicegovernor external.
The organization presidents reports to the
governor. (See page 51)
All council officers should plan and
prepare the budget for the semester. The
allocated amount for each item in the
breakdown is based on historical data of
the CBA council (e.g. actual expenses),
preferably from the past three years,
current prices of goods and materials,
and the documents from other colleges.
Cash Collections When receipts are not available, a note is issued. Make a standard note -- receipt of payment
Not a standard note; Can be any form of paper; Risk: (see page 77).
incomplete information, and note may be duplicated

Treasurer holds cash and keeps the records. Risk:

Lacks segregation of duties The Treasurer should be assigned with the
custody of cash while the Assistant
Cash is sometimes left in the council room overnight. Not Treasurer for recording and keeping of
remitted; Risk: Theft; Place is not secured; Cash box can files.
be easily opened. Buy a steel cash box. Only the treasurer
must hold the key. Cash box should be kept
inside a secured steel cabinet.

Purchasing There is no particular document that will serve as an The assigned officer will be permitted to
evidence that the assigned officer is already permitted to purchase, by means of purchase
purchase. authorization form (see page 77) from the
governor and treasurer.
Lack of control in depositing and withdrawing cash The treasurer will be permitted to deposit or
withdraw, by means of deposit/withdrawal
The treasurer is the person in charge in the custody of authorization form (see page 67) from the
cash. He is also in charge in the safe keeping of important adviser.
documents and recording. The assistant treasurer should be the
person responsible in keeping documents
and recording transactions.

4
Control Environment The lack of a Vision-Mission statement translates to a
lack of guidance for the CBA Council as it performs its
functions.
No specific amercements are in place in case an officer
is unable to fulfill his/her duties, especially with regard to
accountability for finances.
The officers’ duties and responsibilities are assumed and
informally agreed upon amongst themselves, since they
cannot refer to any formal document.
Risk Assessment The cash box can be easily opened by force because of
its material. The council room and all the documents and
assets kept there is accessible to anyone, not just the
Council officers. Policy risks are also present, such as in
the University and CHED policies on fee collection.
5
The CBA Council should establish an
organizational charter, stating its vision,
mission, core values, and competencies.
The organizational chart should be
modified to improve communication lines,
emphasize accountability, and better suit
the needs of the CBA council (see page
51).
All officers must be properly oriented of
their duties and responsibilities before they
assume their positions.
Measures should be put in place to hold
officers accountable for their respective
duties and responsibilities.
Ultimate responsibility for cash should rest
with the Treasurer.
The CBA council must formalize its
shortand long-term objectives, particularly
on the operational aspect.
Following the identification of its objectives,
the council must identify specific risks from
internal and external
 sources that may come with
the achievement of such objectives.
Most importantly, the council should
prepare plans of action for responding to
risks.
Security risks
The plastic cash box should be replaced
with a sturdier and more secure one
(preferably metal). The Treasurer alone will
hold the key to the cash box.
The Council may also acquire a new steel
cabinet to store all confidential documents,
the keys to which will be held only by
Governor, Vice governor – internal,
Treasurer, and Assistant Treasurer.
Important files such as financial and
secretarial records should be encrypted.
The access will be limited to the assistant
Treasurer.

Policy risk
Changes in college- and university-wide
policies can affect the operations of the
council. To mitigate this, the council must
be well-informed of such policy changes,
so that it has sufficient time to evaluate
circumstances and weigh its options,
should it be faced with critical
decisionmaking.
A review of the council’s operations and
policies should be conducted, with the
purpose of identifying opportunities and
incentives for fraud.

6
Control Activities The CBA Council’s control activities are not specific to Preventive/Detective:
their business processes, nor are they tailored to mitigate Documentation of all transactions
particular risks. Manual:
Verification of signatures on
official documents and records
Computer:
Digitization of important records
and documents
Maintenance of a secure and reliable
digital storage (preferably cloud)
Management:
Routine check-ups of duties
and responsibilities, performance
indicators, and measures of success
Information and Students are not informed of the activities or The P.R.O.’s role of communicating
Communication involvements of the council information to students, especially through
text messages and Facebook posts,
should be reinforced.
Monitoring There is a lack of periodic evaluations of the officers’ Key Performance Indicators (KPIs) and
performances and of the Council’s operations as a whole. Measures of Success (MoS) should be
developed for each of the council’s
objectives or tasks.
Regular (monthly) evaluations should be
conducted by the officers, preferably during
their meetings. Such evaluations should
examine feedback regarding the council’s
internal controls and general performance
and provide the means to improve or take
corrective actions, when necessary.

7
Records, Forms, and Chart Treasurer records its transactions in a notebook. No See page 68
of Accounts formal recording process.

8
 BACKGROUND

7
PROFILE AND HISTORY

The College of Business Administration Student Council (CBA Council) was established

in 1939, a year after the college itself was opened. It has since served as a governing

body, with its primary objective being the protection and welfare of all CBA students. As

an extension of the Silliman University Student Government, the CBA council performs

executive and administrative functions such as enforcing rules and policies, collecting

fees, and organizing student activities.

VISION-MISSION

The CBA Council has not established its own Vision and Mission statements.
PERSONNEL DUTIES AND RESPONSIBILITIES

A formal document exists that details the duties and responsibilities of each officer.

However, the CBA Council cannot, at present, locate the said document.

10
 CURRENT ORGANIZATIONAL CHART

Dean, College of Business

Administration

Advisers
Florenda A. Caseres, Meliton G. Gabas

Governor
Schenitte Mharie Tingas

Secretary Vice-Governor Internal Vice-Governor External Treasurer

Raizza Rubia Eduardo Americo Sedillo III Carlos Ng II Ariel Tag

Assistant Secretary Assistant Treasurer

Allessandra Sabrina Pinili Auditor PRO Reine Margenie Limpao
Jolina Sinco Nhell Jane Lecciones

Committee Heads
Year-Level Presidents
Organization Presidents (JPIA, SJBE,
SJOM, SES, YESS, BCSS)
9
EXISTING SYSTEM

13
INTERNAL CONTROL SYSTEM

Control Environment

• The control environment is largely dependent on the approval of the advisers and

the dean.

• All cash disbursements require the approval of the Governor.

• The council adheres strictly to its budget. Collections and disbursements are made

as planned.

• The first semester fee collection was imposed upon all CBA students. However,

certain University policies have since made it difficult for the council to require the

payment of council fees in the same manner during the second semester.

• During the first semester, each council officer was held primarily accountable for

the cash allocated for their respective tasks or activities. In the second semester,

this was limited to only the Treasurer and the Governor.

Risk Assessment

• The internal controls for cash during the first semester were found by the Governor

to be too risky, there being too many people holding cash at the same time. This

explains the change of control during the second semester.

• The cash from collections is kept in a cash box at the council room before being

deposited at the bank at the end of the day. However, there are instances when

14
 the cash is left at the council room overnight. The key to the cash box is held by

the Treasurer.

• The council room, where all of the council’s assets are kept, is accessible to anyone

as long as it is unlocked. Students other than the council officers who frequent the

room are officers of the different CBA student organizations.

Control Activities

• Cash collections are remitted daily to the Business and Finance office.

• Large amounts of cash are deposited to a bank account until needed. The ATM

card is held by the Treasurer. The PIN is known only by the Treasurer and one

council adviser.

• All transactions are documented with receipts, requisition forms, and the like.

Information and Communication

• Information is disseminated among council officers through personal attendance

during meetings, text messages, and short meet-ups and conversations.

• The council generates regular minutes of meeting and ensures that all of its officers

receive and read the same.

• The said minutes are forwarded to the council advisers only upon their request,

since their primary concerns are only the semestral planning and budgeting.

15
Monitoring

• The council officers monitor and evaluate their respective tasks and events, making

sure that all spending is kept within the budget.

• The student body is monitored, especially with regard to the enforcement of policies

and the dissemination of information, through constant reminders from the council.

The council also collaborates with teachers to help keep track of the students.

BUSINESS PROCESSES

Semestral Budgeting

Step 1. The governor will call for a meeting with the treasurer for the preparation of the

budget proposal. The allocated amount for each item in the breakdown will be based on

historical data of the CBA council (e.g. actual expenses), preferably from the past three

years, and the documents from other colleges. The maximum amount would be the

previous year’s council fee.

Step 2. Draft of budget proposal will be released signed by the governor and the

treasurer.

Step 3. The budget proposal is will then be scrutinized by the advisers and the dean

together with the governor and treasurer. Then, comments will be discussed. If there are

revisions, a new draft of budget proposal will be prepared by the governor and treasurer

and submitted to the advisers and dean.

Step 4. If without changes to the budget proposal, before or after the necessary revisions,

two copies of final budget proposal will be prepared.

16
Step 5. The final budget proposal will be released, signed by the governor and treasurer,

submitted to the advisers for approval and signatures.

Step 6. After the approval from the advisers, the final budget proposal will be forwarded to

the Dean’s Office for the final approval of the dean.

Step 7. Submit a copy of the approved budget to the Business and Finance Office. The

other copy will be kept by the treasurer.

Cash Collections

Step 1. After the approval of the budget, the treasurer will acquire pre-numbered stubs of

official receipts from the Business and Finance Office.

Step 2. The student body will be informed of the semester’s approved council fee with

breakdown for each item. At the same time, council officers will plan out schedule of

collections and officers-in-charge (at least one of the treasurer, assistant treasurer and

auditor must be present all the time) for each collection date.

Step 3. Council officers will be stationed at the CBA lobby or room BA 304 for collection.

Upon receipt of cash from the students, official receipts acquired in step 1 will be given to

the students, stamped and signed by the officer who will receive the cash. The students

will then sign on the printed master list as an evidence of their payment. In cases wherein

official receipts run out or the treasurer is currently remitting the collections to the Business

and Finance Office, students who pay will be given a note, stamped and signed by the

council officer assigned. The students will be asked to come back the next day to get their

17
official receipts upon showing the note given. The students will then sign the printed

master list as an evidence of their payment.

In case wherein a student failed to sign on the printed master list, it is the student’s

responsibility to show the council officers his copy of the official receipt before he can sign

on the printed master list.

Step 4. At the end of the day, the treasurer and the assistant treasurer will reconcile the

ending balance on record and cash on hand. In case of discrepancies between the two

amounts, it is the responsibility of the treasurer to make certain actions to solve the

problem.

Step 5. If without discrepancies in step 4, the assistant treasurer will update the master list

both printed and electronic.

Step 6. The treasurer will prepare the collection report.

Step 7. The treasurer will remit the cash collection for the day to the Business and

Finance Office together with the collection report.

Step 8. In return, the Business and Finance Office will issue an official receipt.

Step 9. The treasurer will update his cash receipts record in his notebook.

Purchasing

Step 1. Budget proposal for each purchase will be prepared by the office in charge of the

event or purchase.

Step 2. The prepared budget proposal will be reviewed by the treasurer and the governor.

If with revisions, the proposal will be returned to the officer in charge for adjustments. If

18
without revisions, the proposal will be forwarded to the advisers for signatures and

approval.

Step 3. Once approved by the advisers, requisition form will be processed by the treasurer

to be submitted to the Business and Finance Office. After the submission of the requisition

form, the assigned officer will then be permitted to purchase.

Step 4. In addition to the requisition form, the treasurer must process a cash advance

form. The cash advance form is to be signed by the adviser and the treasurer. Schedule

of breakdown of the purchase, in accordance with the budget, must be attached with the

cash advance form.

Step 5. The signed cash advance form, together with the breakdown will be submitted to

the Business and Finance Office.

Step 6. Check will then be issued by the Business and Finance Office 3 days after the

submission of the cash advance form.

Step 7. The check received in step 6 will then be encashed. If there are purchases prior

to the issuance of the check, such purchases will be reimbursed given that official receipts

are present to support the disbursements. If the cash is not urgently needed, it will be

deposited at the bank account of the CBA council.

Step 8. Cash is to be given to respective entities or officers requesting the purchase. Step

9. For direct purchases (e.g. CBA shirt purchase), official receipt must be received

immediately by the person paying. For disbursements to officers, the treasurer will let the

recipient of the disbursement issue acknowledgment receipt.

19
Step 10. After purchase, the acknowledgment receipt received by the treasurer in step 9

will be exchanged with the official receipts supporting the purchase. If the purchase does

not have an official receipt, an acknowledgment receipt may be accepted only if the

amount is tolerable (not more than P1,000.00) or if the nature of the vendor itself does not

require an official receipt (e.g. fare, carpenters, public market vendors).

Step 11. When all receipts are in, the treasurer will liquidate the cash advance. In practice,

the treasurer liquidates immediately at the end of each purchase or event.

Step 12. The treasurer will submit the liquidation to the Business and Finance Office.

Any excess cash will be reverted back to the Business and Finance Office.

Step 13. After liquidation, the treasurer will then update his notebook.

RECORDS, FORMS, AND CHART OF ACCOUNTS

The CBA council does not currently have any formal records, forms, or chart of accounts.

Its relies on the records of the Business and Finance Office of the University.

FLOWCHART (see next page)

20
 EXISTING SYSTEM: FINDINGS, EVALUATION, AND
ANALYSIS
INTERNAL CONTROL SYSTEM

Control Environment

• The lack of a Vision-Mission statement translates to a lack of guidance for the CBA

Council as it performs its functions, because it does not have a common set of

principles and objectives on which to base their actions and decisions.

• No specific penalties are in place in case an officer is unable to fulfill his/her duties,

especially with regard to accountability for finances.

• The officers’ duties and responsibilities are assumed and informally agreed upon

amongst themselves, since they cannot refer to any formal document.

Risk Assessment

• Significant security risks are present in the CBA Council’s existing control system.

o The cash box can be easily opened by force because of its material.

o The council room and all the documents and assets kept there is

accessible to anyone, not just the Council officers.

• Policy risks are also present, such as in the University and CHED policies on fee

collection. Such policy changes are often sudden, posing a challenge to student

councils who have to adjust their operations accordingly.

27
Control Activities

The CBA Council’s control activities are not specific to their business processes, nor

are they tailored to mitigate particular risks.

Information and Communication

• Information is disseminated among council officers through personal attendance

during meetings, text messages, and short meet-ups and conversations.

• The council generates regular minutes of meeting and ensures that all of its officers

receive and read the same.

• The said minutes are forwarded to the council advisers only upon their request,

since their primary concerns are only the semestral planning and budgeting.

Monitoring

There is a lack of periodic evaluations of the officers’ performances and of the

Council’s operations as a whole. There seems to be little room for feedbacking and

subsequent corrections and improvements.

28
Semestral Budgeting

Strengths:

1. Availability of records and documents used as basis in determining the amount to

be allocated for each item in the breakdown (based on historical data of the CBA council

(e.g. actual expenses), preferably from the past three years, and the documents from

other colleges)

2. Adequate review of budget proposal before approval (the dean and the advisers

together with the governor and treasurer holds a meeting to discuss the budget

proposal--if there are necessary revisions)

3. Adequate copies of final budget proposal (two copies of the final budget proposal

are produced--one is with the Business and Finance and one is kept by the council

treasurer)

Weaknesses:

1. Preparation of budget proposal only by the governor and the treasurer

Risk: It opens an opportunity for conspiracy to occur. (The governor and

treasurer might agree on overstating the budget.)

Cash Collections

Strengths

1. Official receipts are standard official receipts of the University.

2. Collections are issued with receipts.

3. Cash is remitted to the business and finance office for safe keeping daily.

4. Cash remitted will be reviewed by the business and finance office upon remittance.

5. Any council officer receives cash.

29
5. Presence of electronic master list.

Weaknesses

1. Collections are sometimes left in the council room.

-Cash box can be easily opened since it’s only a plastic cash box.

Risk: In connection with the first weakness, money is highly susceptible to

theft.

2. Any council officer receives cash.

Risk: Hence, the probability of mishandling or misplacing cash is high.

3. When no receipts are available, no standard note is issued.

Risk: With no standard format, there may be items that might not be

written on the note, thus, leading to inconsistency.

4. Some collections are not deposit intact.

Risk: The treasurer sometimes uses current cash collection before

remittance. This may be an opportunity for lapping scheme.

5. Master list data is not encrypted and can be easily altered.

Risk: The master list data can be easily altered.

6. Throughout the process, only the treasurer has the control over the system. Lack of

segregation of duties.

Risk: In the handling of cash in the current system, no one randomly

checks the treasurer. Hence, treasurer can misappropriate cash and alter the record.

Purchasing

Strengths:

30
1. There is an ideal process that is available.

2. Preventive measures (reviews) are adequate.

3. Idle cash awaiting disbursements are deposited to the bank. No person carries a huge

amount of cash.

4. Money is kept at the Business and Finance which is a good place for safekeeping.

Weaknesses:

1. No control is implemented to monitor the inflows and outflows of cash with the bank

account.

Risk: Treasurer might use the cash without authorization and return it back (i.e.

unauthorized borrowing.)

2. Current process is not always followed. Due to the urgent need and deficiency of

funds, officers sometimes “borrow” from the undeposited collections to meet the needs.

Risk: Collections might be understated due to theft or fraud.

Records, Forms, and Chart of Accounts

Strength:

1. The council has been using forms and receipts issued by the Business and Finance

Office such as cash advance form, requisition form, acknowledgment receipts, and

official receipts.

Weaknesses:

1. The CBA council has no formal recording of their transactions. No journal entries, chart of

accounts, and financial statements are generated.

2. Transactions are recorded by the treasurer in his notebook.

31
 Risk: The notebook might be misplaced or lost. Retrieval of records will be another

problem.

3. Treasurer is in custody of cash and at the same time records transactions.

Risk: Lack of segregation of duties.

Organizational Structure

Strengths:

1. Simple organizational structure. A complex organizational structure is more likely

to cause confusion regarding the duties and responsibilities of the officers as well as their

reporting accountability. On the other hand, a simple organizational structure provides a

clear line of authority and responsibility which enables harmonious working relationships

and quick decision-making and actions.

2. Highly involved dean and advisers. The dean and advisers oversees the activities

of the council.

Weaknesses:

1. Improper span of control

Risk: The governor might tend to do all the work.

2. The auditor reports functionally to the governor.

Risk: The governor can exert undue influence over the auditor hence, breaching

the auditor’s independence.

32
PROPOSED SYSTEM: SPECIFIC
RECOMMENDATIONS

33
INTERNAL CONTROL SYSTEM
36
Control Environment

• The CBA Council should establish an organizational charter, stating its vision,

mission, core values, and competencies. Such a move would provide the

necessary foundation for a favorable control environment.

• The council adviser must exercise sufficient oversight in monitoring the council

officers, especially in terms of their individual accountability.

• The organizational chart should be modified to improve communication lines,

emphasize accountability, and better suit the needs of the CBA council (see section

on proposed organizational chart).

• All officers must be properly oriented of their duties and responsibilities before they

assume their positions. They must also be continuously trained and given

opportunities to grow and improve throughout their term.

• Measures should be put in place to hold officers accountable for their respective

duties and responsibilities.

o Ultimate responsibility for cash should rest with the Treasurer. While cash

may be distributed to the officers as the need arises (e.g. when spending is

required for their respective assigned events), the transfer of such must be

properly documented with 1) an acknowledgment receipt signed by the

Treasurer and the receiving officer and 2) an entry into a formal logbook of

cash disbursements maintained by the Treasurer.

36
Risk Assessment

• The CBA council must formalize its short- and long-term objectives, particularly on

the operational aspect. Doing so will provide a basis for risk assessment

approaches to be formulated and carried out.

• Following the identification of its objectives, the council must identify specific risks

from internal and external sources that may come with the achievement of such

objectives. Wherever possible, it must also accurately predict the likelihood of the

occurrence of such risks. Most importantly, the council should prepare plans of

action for responding to risks.

o Security risks

▪ The plastic cash box should be replaced with a sturdier and more

secure one (preferably metal). The Treasurer alone will hold the key

to the cash box.

▪ The Council may also acquire a new steel cabinet to store all

confidential documents, the keys to which will be held only by

Governor, Vice governor – internal, Treasurer, and Assistant

Treasurer.

▪ Important files such as financial and secretarial records should be

encrypted. The access will be limited to the assistant Treasurer. o

Policy risk – Changes in college- and university-wide policies can

affect the operations of the council. To mitigate this, the council must

be wellinformed of such policy changes, so that it has sufficient time

37
 to evaluate circumstances and weigh its options, should it be faced

with critical decision-making.

• A review of the council’s operations and policies should be conducted, with the

purpose of identifying opportunities and incentives for fraud.

• Special attention must be given to the financial impacts of identified risks, as these

may significantly affect the effectiveness and efficiency of the council’s operations.

Control Activities

• Preventive/Detective o Documentation of all transactions

• Manual

o Verification of signatures on official documents and records

• Computer

o Digitization of important records and documents o Maintenance of a secure

and reliable digital storage (preferably cloud)

• Management

o Routine check-ups of duties and responsibilities, performance indicators,

and measures of success

Information and Communication

• The council should have access to information sources such as the CBA office, the

school publication, the official Silliman website, and other offices in the

University.

38
 • The CBA Council should establish standard and consistent
channels of

communication, both internally amongst the officers and externally with outside

parties.

o Information may be disseminated among officers through meetings and

private or group messages, provided that these are timely and accessible to

all concerned.

o The P.R.O.’s role of communicating information to students, especially

through text messages and Facebook posts, should be reinforced.

Monitoring

• Key Performance Indicators (KPIs) and Measures of Success (MoS) should be

developed for each of the council’s objectives or tasks. Doing so will facilitate

monitoring activities by providing a clear metric with which to measure the

effectiveness and efficiency of the council’s activities.

• Regular evaluations should be conducted by the officers, preferably during their

meetings. Such evaluations should examine feedback regarding the council’s

internal controls and general performance and provide the means to improve or

take corrective actions, when necessary.

• Regular (monthly) reports (operational, financial, and compliance) should be

prepared and forwarded to the council adviser.

PROPOSED VISION

39
 To become the model student council in Silliman University, committed to good

governance and providing quality service to all College of Business Administration

students.

PROPOSED MISSION

To conduct activities and provide services that will enhance the quality of CBA

student life and promote a Christ-centered learning environment

To communicate information to and from the college and University

administration and the CBA students

To become a self-sustaining entity, capable of sustainable growth and

development,

To serve as an example of best practices in good governance, transparency, and

accountability
PERSONNEL DUTIES AND RESPONSIBILITIES

Currently, the CBA Council does not have an official list of duties and responsibilities for

its members because it is lost and although efforts were exerted to locate the missing list,

it remains to be unrecovered. See next page for the proposed duties and

responsibilities of each officers and committees.

40
The Governor.

a. Presides over the meetings of the Council.

b. Accountable for all activities of the Council.

c. Knows all the activities of the Council.

d. Delegates tasks according to the objectives of the Council and oversee the other

Council officers.

e. Calls for regular meetings and emergency meetings.

f. Acts as a direct means of communication between the students and faculty of the

college.

g. Represents the college in matters requiring such representation.

h. Plans and prepares the semestral budget.

i. Affixes his/her signature in documents requiring his/her approval.

j. Reviews the activity budget proposal.

k. Assigns officers to procure necessary expenses.

l. Signs the budget proposal.

m. Finalizes plans for effective collection

n. Assigns officers to each collection day

o. Does necessary methods to entice payment

p. Takes the custody of cash in the absence of the Treasurer.

q. Ensures that all documents of the council will be properly turned-over to the next

elected governor.

41
The Vice Governor-Internal.

a. Stands in place in the absence or inability of the governor and perform his/her

duties and execute his/her powers.

b. Does consistent monitoring and follow-up of the activities of the Council as well as

the officers in charge with the tasks.

c. Makes sure that other officers are informed of the mission, vision, objectives and

the policies of the Council.

d. Performs duties and responsibilities delegated by the governor.

e. Plans and prepares the semestral budget.

f. Acts as property custodian for small inventoriable items.

The Vice Governor-External.

a. Stands in place in the absence or inability of the governor and perform his/her

duties and execute his/her powers.

b. Responsible for events Council-external based events and activities (i.e.

partnerships and in coordination with other college student council and

organizations).

c. Makes alliances with other organizations, student councils and other universities in

achieving good publicity outside the college and the university as well as the

academic and non-academic objectives of the Council.

d. Responsible planning and conducting for outreach and socio-civic activities.

42
 e. Oversees the year-level presidents and be their liaison of communication between

them and the Council.

f. Performs duties and responsibilities delegated by the governor.

g. Plans and prepares the semestral budget.

The Auditor.

a. Spearheads the evaluation of Council events to determine mishaps, their causes

and recommend improvements.

b. Audits the financial reports and other reports of the Council and their supporting

documentation.

c. Checks for discrepancies of reports.

d. Audits the Council officers’ performance in compliance with their

roles and

responsibilities.

e. Reports administratively to the Governor and functionally to the Council advisers.

f. Plans and prepares the semestral budget.

g. Constantly reconciles records of the Business and Finance with that of the

Council’s.

The Secretary

a. Documents the proceedings of each meeting and each Council activity and be a

custodian of all records and files.

43
 b. Prepares minutes of the meeting.

c. Records attendance in every meeting.

d. Keeps a record of all Council officers’, year level presidents’ and college

representatives’ names and contact numbers.

e. Be updated with new information and keep track of necessary dates and

activities.

f. Instructs PRO of what to information to disseminate.

g. Oversees and supervises the PRO and assistant secretary.

h. Performs duties and responsibilities delegated by the governor.

i. Acts as OIC in all matters concerning attendance.

j. Plans and prepares the semestral budget.

The Assistant-Secretary.

a. Assists the secretary in his/her duties.

b. Stands in place in the absence or inability of the secretary and perform his/her

duties and execute his/her powers.

c. Performs duties and responsibilities as delegated by the secretary.

d. Keeps a backup copy of the files of the secretary.

e. Plans and prepares the semestral budget.

f. Performs duties and responsibilities as delegated by the governor.

44
The Public Relations Officer (PRO).

a. Disseminates information to the student body and other persons necessary to be

informed.

b. Responds to all inquiries of the students with regard to Council activities, events,

schedules and procedures.

c. Delegates information to year-level presidents and year-level PROs.

d. Acts as OIC in all matters public communications.

e. Plans and prepares the semestral budget.

f. Performs duties and responsibilities as delegated by the governor.

The Treasurer.

a. Collects college fees and issue official receipt.

b. Reconciles collections (cash and receipts).

c. Remits cash to Business and Finance office daily receipts/collections.

d. Acts as a co-signatory with the governor for the council’s bank account.

e. Directly accountable to the college’s cash and accounts.

f. Makes payments/disbursements of cash as authorized by the governor and/or

advisers.

g. Acts as custodian for Council’s cash.

h. Prepares necessary documents for Business and Finance requisition forms, cash

advance forms, liquidation forms and other necessary documents.

i. Prepares financial reports and their supporting documents.

45
 j. Handles and manages the college’s cash honestly and responsibly.

k. Withdraws and deposits cash into the Council’s bank account.

l. Reviews the activity budget proposal.

m. Signs the budget proposal.

n. Encashes check from cash advance.

o. Performs duties and responsibilities as delegated by the governor.

p. Acts as OIC in all financial matters.

q. Plans and prepares the semestral budget.

The Assistant-Treasurer.

a. Assists the treasurer in his/her duties.

b. Stands in place in the absence or inability of the treasurer and perform his/her

duties and execute his/her powers except for custody of cash which shall be

assumed by the Governor.

c. Reviews mathematical accuracy for check and balance purposes.

d. Makes journal entries and records transactions.

e. Posts to the general ledger.

f. Keeps a record and keep track of students who have paid college fees.

g. Keeps a record and track cash disbursements and receipts.

h. Prepares financial reports and their supporting documents.

i. Acts as custodian of all documents related to financial matters of the Council.

j. Performs duties and responsibilities as delegated by the treasurer.

46
 k. Performs duties and responsibilities as delegated by the governor.

l. Plans and prepares the semestral budget.

Year-level Presidents.

a. Act as an extension of the CBA Council.

b. Perform duties and responsibilities as delegated by the CBA Council.

c. Responsible for tasks and events assigned to the year-level by the CBA Council.

College Representatives.

a. Act as intermediaries between the CBA and the student government.

b. Set a voice to the student government about the concerns and problems of the

CBA students.

Intramurals Food Committee.

a. Prepare food for the athletes on time.

b. Deliver food for the athletes on time.

Intramurals Medics Committee.

a. Be present in the games to be ready in case of emergencies.

b. Conduct first aid in case of emergencies and physical discomfort of athletes.

Intramurals Transportation Committee.

a. Drive other committee members to locations in order for them to fulfill their

responsibilities (e.g., drive the food committee members to a store to buy food).

b. Deliver the food to the athletes.

Intramurals Information Committee.

a. Keep CBA students up to date with the scores of the different games.

47
 b. Inform CBA students of the schedule of the games.

Secretariat Committee

- Committee in-charge for the checking of attendance in every event and sometimes

will be tasked to usher in some specific events such as CBA

Convocation, Pinning and etc.

Parada Sillimaniana Committee

- Committee in-charge to plan and organize the things needed for the Parada

Sillimaniana (such as the float, the gimmicks, transportation and etc.) during the

Founder’s Week Celebration.

Programs Committee

- Committee in-charge to plan out and organize the different events of the college

such as Acquaintance Party, Christmas/Victory Party and etc.

Marketing Committee

- Committee in-charge of getting sponsorships from organizations/institutions

outside the college/university to help out in the events to be held by the college.

Info-Media/Documentation Committee

- Committee in-charge to edit posters, videos and document the different events of

the college. Members should be good in taking pictures or must be good in editing

pictures, posters, flyers, invitations, videos and other stuffs related to that.

Promotion Committee

- Committee in-charge to disseminate announcements and other information that

needs to be disseminated through-out the whole college.

48
 PROPOSED ORGANIZATIONAL CHART

Dean

Advisers

College Governor Auditor

Secretary Vice-Governor Internal Organization Vice-Governor External Treasurer

Year-Level Presidents Committee Heads Assistant Treasurer

Assistant PRO

SJBE - Intramurals Cheering Committee

JPIA - Intramurals Food Committee
SES - Intramurals Medics Committee
YESS - Intramurals Transportation
Committee
BCSS - Intramurals Information
Committee
51
BUSINESS PROCESSES

Semestral Budgeting

Step 1. The council officers will plan for and prepare the budget. The allocated amount for

each item in the breakdown will be based on historical data of the CBA council (e.g. actual

expenses), preferably from the past three years, current prices of goods and materials,

and the documents from other colleges.

Step 2. Draft of budget proposal will be released signed by the governor and the

treasurer.

Step 3. The budget proposal will then be scrutinized by the advisers and the dean together

with the governor and treasurer. Then, comments will be discussed. If there are revisions,

a new draft of budget proposal will be prepared by the council officers and submitted to

the advisers and dean.

Step 4. If without changes to the budget proposal, before or after the necessary revisions,

two copies of final budget proposal will be prepared.

Step 5. The final budget proposal will be released, signed by the governor and treasurer,

submitted to the advisers for approval and signatures.

Step 6. After the approval from the advisers, the final budget proposal will be forwarded to

the Dean’s Office for the final approval of the dean.

Step 7. Submit a copy of the approved budget to the Business and Finance Office. The

other copy will be kept by the assistant treasurer.

51
Collections

Step 1. After the approval of the budget, the treasurer will acquire pre-numbered stubs of

official receipts from the Business and Finance Office.

Step 2. The student body will be informed of the semester’s approved council fee with

breakdown for each item. At the same time, council officers will plan out schedule of

collections and officers-in-charge (at least one of the treasurer, assistant treasurer and

auditor must be present all the time) for each collection date.

Step 3. Council officers will be stationed at the CBA lobby or room BA 304 for collection.

Upon receipt of cash from the students, official receipts acquired in step 1 will be given to

the students with CBA stamp and signature of the officer who received the cash. The

students will then sign on the printed master list as an evidence of their payment. In cases

wherein official receipts run out or the treasurer is currently remitting the collections to the

Business and Finance Office, students who pay will be given a note, stamped and signed

by the council officer assigned. The students will be asked to come back the next day to

get their official receipts upon showing the note given. The students will then sign the

printed master list as an evidence of their payment.

In case wherein a student failed to sign on the printed master list, it is the student’s

responsibility to show the council officers his copy of the official receipt before he can sign

the printed master list.

Step 4. At the end of the day, the treasurer will reconcile the ending balance on record and

cash on hand. In case of discrepancies between the two amounts, it is the

responsibility of the treasurer to make certain actions to solve the problem.

52
Step 5. The assistant treasurer will review the reconciliation in front of the treasurer.

If after verification, errors are discovered, the treasurer will review again the

reconciliation.

Step 6. If without discrepancies in step 4, the assistant treasurer will update the master list

both printed and electronic.

Step 7. The treasurer prepares the collection report.

Step 8. The treasurer remits the cash collection for the day to the Business and Finance

Office together with the collection report.

Step 9. In return, the Business and Finance Office will issue an official receipt.

Step 10. The treasurer will give the official receipt to the assistant treasurer for

recording.

Step 11. The assistant treasurer will prepare journal entries and then post the

entries to the general ledger. Only the assistant treasurer can record the transaction

for segregation of duties.

Purchasing

Step 1. Budget proposal for each purchase will be prepared by the office in charge of the

event or purchase.

Step 2. The prepared budget proposal will be reviewed by the governor and treasurer. If

with revisions, the proposal will be returned to the officer in charge for adjustments. If

without revisions, the proposal will be forwarded to the advisers for signatures and

approval.

53
Step 3. Once approved by the advisers, requisition form will be processed by the treasurer

to be submitted to the Business and Finance Office. After the submission of the

requisition form, the assigned officer will then be permitted to purchase, by means

of purchase authorization from the governor and treasurer.

Step 4. In addition to the requisition form, the treasurer must process a cash advance

form. The cash advance form is to be signed by the adviser and the treasurer. Schedule

of breakdown of the purchase, in accordance with the budget, must be attached with the

cash advance form.

Step 5. The signed cash advance form, together with the breakdown will be submitted to

the Business and Finance Office.

Step 6. The treasurer should retain a copy of the cash advance form and should give

the copy to the assistant treasurer for safe keeping along with other important

documents.

Step 7. Check will then be issued by the Business and Finance Office 3 days after the

submission of the cash advance form. The assistant treasurer should prepare journal

entries for the receipt of the check and should post these entries to the general

ledger.

Step 8. The check received in step 7 will then be encashed. If there are purchases prior

to the issuance of the check, such purchases will be reimbursed given that official receipts

are present to support the disbursements.

Step 9. If the cash is not urgently needed, it will be deposited at the bank account of the

CBA council. A written authorization to deposit, approved by the adviser must first

54
be processed prior to the deposit. If the deposited cash is needed, a written

authorization to withdraw cash must first be processed, approved by the adviser.

The deposit slip, withdrawal slip and the written authorization shall be kept by the

assistant treasurer.

Step 10. Cash is to be given to respective entities or officers requesting the purchase.

Step 11. For direct purchases (e.g. CBA shirt purchase), official receipt must be received

immediately by the person paying. For disbursements to officers, the treasurer will let the

recipient of the disbursement issue acknowledgment receipt.

Step 12. After purchase, the acknowledgment receipt received by the treasurer in step 11

will be exchanged with the official receipts and other documents supporting the purchase.

If the purchase does not have an official receipt, an acknowledgment receipt may be

accepted only if the amount is tolerable (not more than P1,000.00) or if the nature of the

vendor itself does not require an official receipt (e.g. fare, carpenters, public market

vendors).

Step 13. When all receipts are in, the treasurer will liquidate the cash advance. In practice,

the treasurer liquidates immediately at the end of each purchase or event.

Step 14. The treasurer will submit the liquidation to the Business and Finance Office. Any

excess cash will be reverted back to the Business and Finance Office.

Step 15. The treasurer shall retain a copy of the liquidation form to be given to

assistant treasurer for safe keeping. After liquidation, the assistant treasurer shall

journalize the expenses incurred based on the liquidation form, then post these

entries to the general ledger.

55
PROPOSED SYSTEM FLOWCHART

56
 CHART OF ACCOUNTS, RECORDS, AND FORMS
PROPOSED CHART OF ACCOUNTS
Account Name Classification Account Number
Cash on Hand Assets - Cash 101
Cash in Business and Assets - Cash 102
Finance
Petty Cash Assets - Cash 103
Due from Officer Assets - Receivable 111
T-shirt Inventory Assets - Supplies 121
CBA Council Equity Equity 301
Cash Collections Cash Inflow 401
Cash Donations Cash Inflow 402
T-shirt Expenses Cash Outflow 410
Fare Expenses Cash Outflow - Expenses 411
Supplies Expenses Cash Outflow - Expenses 412
Communication Expenses Cash Outflow - Expenses 413
Food Expenses Cash Outflow - Expenses 414
IMTC Expenses Cash Outflow - Expenses 415
Buildings and Ground Cash Outflow - Expenses 416
Expenses
Cafeteria Expenses Cash Outflow - Expenses 417
Miscellaneous Expenses Cash Outflow - Expenses 418
Summary Intermediate Account 501
General Journal

68
 College of Business Administration Student
Council Silliman University

Date Acct. Ref. No. Debit Credit

No.
To record council fee collections

June xx, 101 Cash on Hand xxx

20xx
401 Cash Collections xxx

Required Documents Official Receipts

To record cash donations

June xx, 101 Cash on Hand xxx

20xx
402 Cash Donations xxx

Required Documents Acknowledgment Receipts

To record remittance to Business and Finance Office

June xx, 102 Cash in Business and Finance xxx

20xx
101 Cash on Hand/Cash Collections xxx

Required Documents Official receipt of remittance from

Business and finance
To record check from Business and Finance Office

June xx, 101 Cash on Hand - Check No. (##) xxx

20xx
112 Cash in Business and Finance xxx

Required Document Check issued by the Business and

Finance
To record disbursements to officers

June xx, 111 Due from Officer - (Officer) xxx

20xx
101 Cash on Hand - Check No. (##) xxx

Required Documents Acknowledgment Receipt

To record expenses (after liquidation)

69
June xx, 411 Fare Expenses xxx
20xx
412 Supplies Expenses xxx

413 Communication Expenses xxx

418 Miscellaneous Expenses xxx

101 Cash on Hand - Check No. (##) xxx

111 Due from Officer - (Officer) xxx

Required Documents Liquidation Statement

Date Acct. Ref. No. Debit Credit

No.
To record T-shirt Purchases

June xx, 410 T-shirt Expenses xxx

20xx
xxx Cash on Hand/in Business and xxx
Finance
Required Document Official Receipt or
Request for Payment
To record expenses directly chargeable to Business and Finance account

June xx, 415 IMTC Expenses xxx

20xx
416 Building and Grounds Expenses xxx

417 Cafeteria Expenses xxx

102 Cash in Business and Finance xxx

Required Documents Council Account Ledger from the

Business and Finance
To establish Petty Cash

June xx, 103 Petty Cash xxx

20xx
102 Cash in Business and Finance xxx

70
 To close cash collections

Oct. xx, 20xx 401 Cash Collections xxx

402 Cash Donations xxx

501 Summary xxx

To establish T-shirt Inventory

Oct. xx, 20xx 121 T-shirt Inventory xxx

410 T-shirt Expenses xxx

To close expenses

Oct. xx, 20xx 501 Summary xxx

411 Fare Expenses xxx

412 Supplies Expenses xxx

413 Communication Expenses xxx

418 Miscellaneous Expenses xxx

410 T-shirt Expenses xxx

415 IMTC Expenses xxx

416 Building and Grounds Expenses xxx

417 Cafeteria Expenses xxx

To close to equity (surplus) *reverse if deficit

Oct. xx, 20xx 501 Summary xxx

301 CBA Council Equity xxx

71
 General Ledger
College of Business Administration Student Council
Silliman University

Account: Cash on Hand Acct. No. 101

Ref.
Date Description Debit Credit
No.
June xx, 20xx Beginning Balance

Account: Cash in Business and Finance Acct. No. 102

Ref.
Date Description Debit Credit
No.
June xx, 20xx Beginning Balance

Account: Petty Cash Acct. No. 501

Ref.
Date Description Debit Credit
No.
June xx, 20xx Beginning Balance

72
Account: Due from Officer Acct. No. 111
Ref.
Date Description Debit Credit
No.
June xx, 20xx Beginning Balance

Account: T-shirt Inventory Acct. No. 121

Ref.
Date Description Debit Credit
No.
June xx, 20xx Beginning Balance

Account: CBA Council Equity Acct. No. 301

Ref.
Date Description Debit Credit
No.
June xx, 20xx Beginning Balance

73
Account: Cash Collections Acct. No. 401

Ref.
Date Description Debit Credit
No.
June xx, 20xx Beginning Balance

Account: Cash Donations Acct. No. 402

Ref.
Date Description Debit Credit
No.
June xx, 20xx Beginning Balance

Account: T-shirt Expenses Acct. No. 410

Ref.
Date Description Debit Credit
No.
June xx, 20xx Beginning Balance

Account: Fare Expenses Acct. No. 411

74
 Ref.
Date Description Debit Credit
No.
June xx, 20xx Beginning Balance

Account: Supplies Expenses Acct. No. 412

Ref.
Date Description Debit Credit
No.
June xx, 20xx Beginning Balance

Account: Communication Expenses Acct. No. 413

Ref.
Date Description Debit Credit
No.
June xx, 20xx Beginning Balance

Account: Food Expenses Acct. No. 414

Ref.
Date Description Debit Credit
No.

75
 June xx, 20xx Beginning Balance

Account: IMTC Expenses Acct. No. 415

Ref.
Date Description Debit Credit
No.
June xx, 20xx Beginning Balance

Account: Cafeteria Expenses Acct. No. 416

Ref.
Date Description Debit Credit
No.
June xx, 20xx Beginning Balance

Account: Buildings and Grounds Expenses Acct. No. 417

Ref.
Date Description Debit Credit
No.
June xx, 20xx Beginning Balance

76
Account: Miscellaneous Expenses Acct. No. 418
Ref.
Date Description Debit Credit
No.
June xx, 20xx Beginning Balance

Account: Summary Acct. No. 501

Ref.
Date Description Debit Credit
No.
June xx, 20xx Beginning Balance

77
 ACKNOWLEDGMENT RECEIPT
Ack. No. 00001

Paid to:
__________________________________________________Date:_______________

Address:_____________________________________Contact No. ________________

PARTICULARS AMOUNT

Received from ___________________________________ the amount of

_____________________________ (Php _________ ) in full payment of the amount
described above.

Received by: ______________________ Approved by: ______________________

Name & Signature Name & Signature

78
 FARE RECEIPT
Fare Rec. No. 00001

Paid to: ___________________________________________Date: _______________

Destination: ___________________________________ Plate No. ________________

Amount: ______________________________________________(Php ____________)

Received by: ______________________ Approved by: ______________________

Name & Signature Name & Signature

PURCHASE AUTHORIZATION
P.A. No. 00001

Requisitioner: ____________________________Date of Requisition: ____________

Purpose/Event:
_____________________________________________________________________

Amount: _____________________________________________( Php ____________)

I, _______________________, Governor/Treasurer of the CBA Council, hereby authorize

the requisitioner to incur necessary expenses for the purpose/event stated above.

Received by: ______________________ Authorized by: ______________________

Name & Signature Name & Signature

79
 RECEIPT OF PAYMENT
R.P. No. 00001
Name:_____________________________________________
Course:____________________________ Date: ___________
Year Level: I II III IV
Contact No.:________________________________________
Amount:___________________________________________

________________________________________
Officer-in-Charge
Signature over Printed Name

DEPOSIT/WITHDRAWAL AUTHORIZATION
No. 00001

Date:_________________
Amount:_____________________________________________(Php________
____)

I, _______________________, adviser of the CBA Student Council, hereby

authorize the treasurer to deposit/withdraw the amount stated above.

________________________________________
Adviser
Signature over Printed Name

80
 College of Business Administration
Silliman University
Proforma Statement of Financial Position For
the S.Y. Ended 20xx

Assets Note
Cash
Cash on hand xxx
Cash in Business and Finance xxx
Petty Cash xxx xxx

Receivables
Due from Officers xxx
xxx
T-shirt Inventory xxx
Other Assets xxx

Total Assets

Liabilities
Due to Officers xxx
Equity

CBA Council Equity xxx

Total Liabilities and Equity xxx

College of Business Administration

Silliman University
Proforma Statement of Cash Flows
For the S.Y. Ended 20xx

Cash Inflows Note

Cash Collections xxx
Cash Donations xxx

81
 Total xxx

Cash Outflows (per event)

Miss Silliman
Cheering Competition
Parada Sillimaniana
CBA Week
Total xxx

Net Cash Inflow/(Outflow) xxx

Cash, Beginning Balance xxx
Cash, Ending Balance xxx

Note:
Expenses per Event
Fare Expenses xxx
Supplies Expenses xxx
Communication Expenses xxx
Food Expenses xxx
IMTC Expenses xxx
Buildings and Ground Expenses xxx
Cafeteria Expenses xxx
Miscellaneous Expenses xxx
Total xxx

82
 Group Members

Daphne Lao

Gloria Roseni Yrad Riva Dianne Lubguban

 81
Frank Lloyd Cadorna