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1961 Audit Report LiquorVILLAGE OF MONTICELLO LIQUOR FUND MONTICELLO,_MI_N__NE50TA. REPORT ON EXAMINATION FOR THE PERIODS J'ANUARX 1, 1961,__TO_DECEMBER 31, 1961 AND OCTO$ER 24, 1961, TO DECEMBER 31~ 1961 1 VILLAGE OF MONTICELLO LIQUOR FUND MONTICELLO, MINNESOTA STATEMENT "A" STATEMENT "A-1" STATEMENT "B., STATEMENT "C" T A B L E O F C O N T E N T S Auditor's Report Balance Sheet December 31, 1961 Bank Reconciliata.on December 31, 1961 Statement a£ Income and Expense £or the Periods January 1, 1961, to December 31, 1961, and October 24, 1961, to December 31, 1961 Statement of Cash Revenues and Expenditures for the Period January 1, 1961, to December 31, 1961 ACCOUNTANTS AUDITOC28 FFDEftAI, ANC7 r'TATS TAxEti SYSTEMS INVESTIGATIONf3 BERNARD ~. MAY & CO. FINANC{AL RFPOR"PS MINNEAPO~.IS B. MINNCSC>YA January 8, 1962 To the Honorable Mayor and Members of the Village Council Monticello, Minnesota Gentlemen: tide have examined the accounts and records of the Liquor Fund of the Village of Monticello, Minnesota, as at December 37., 1961. Our examination was made in accordance with generally accepted municipal auditing standards applicable in the circumstances, and included such tests of the accounting records and other supporting evidence and such other procedures as we considered necessary. In our opinion, the accompanying Balance Sheet, Statement `'A", and Statements of Revenues, Expenditures and Surplus, present fairly the financial position of the Village of Monticello Liquor Fund at December 31, 1961, and the results of its operations for the periods January 1, 1961, to December 31, 1961, and October 2/~, 1961, to December 31, 1961, in conformity with generally accepted municipal accounting principles. Respectfully submitted, BERNARD W. MAY & COMPANY Bernard W. a OUR RiPORTB ANO OLRTIPIG AT84 ARE 1881JE0 W17H THE WNpER9TAN OIN6 THAT. IF -UA418NE0. E{TH BR TH6r MUiT r16 REPRObUGEG 1N TNEIR ENTIRRTY~ OR BHOULU IT 86 pE61RE0 TQ PUB{.tBM ANY REpri:ItE NCE Tb OR EXTRAGT6 FROM TNRM, THAT BUCH fNA44 0k AUBMITTEO FOA OUR APPROVAL. i~ REP 0 R T During the course of our examination we noted that the insurance policy ~k90-67D$-76 from the Maryland Casualty Company for the employee's bond was due December 7, 1961. [Je did not have any records produced showing this policy being renewed. The policy ~~316663 from the Commercial Union for coverage an the stock and fixtures expired on December 30, 1961, with no record of renewal. We recommend the Council check aver the insurance policies and obtain adequate coverage. We found in a few instances that there were tickets missing from the cases. There seemed to be no explanation for this, and in ane instance an invoice was mailed to the office requesting tickets and the invoice was dated in the middle of December and was received after the first of the year. The manager has been instructed to send the invoices immediately upon receipt of the merchandise, and to put the inventory tickets upon the bottles or in the cases upon receipt of the inventory control tickets. We ca11 your attention to Statement "A-1". Yau will note that there are a number of outstanding orders dating back to August 3, 1961. zf these orders are to be cancelled we should be told sa that we can change our records. Otherwise they should be turned over to the payee. STATEMENT "A" VILLAGE OF MONTICELLO LIQUOR _FUND BALANCE SHEET DECEMBER 31, 1961 ASSETS CURRENT ASSETS Cash on Hand Cash in Bank Merchandise Inventory TOTAL CURRENT ASSETS FIXED ASSETS Parking Lot Furniture and Fixtures Less: Reserve for Depreciation Building Improvements Less: Reserve for Depreciation Building Improvement 1961 Less: Reserve for Depreciation Sink and Cocktail Unit Less: Reserve for Depreciation Illuminating Sign Less: Reserve for Depreciation TOTAL NET FIXED ASSETS TOTAL ASSETS LIABILITIES AND SURPLUS CURRENT LIABILITIES Accounts Payable P.E.R.A. Deduction federal Withholding Tax State Withholding Tax TOTAL CURRENT LIABILITIES SURPLUS Balance January 1, 1961 Add: Net Income for Period TOTAL Less: Transfer Out to Water Sinking Fund Street Improvement fund TOTAL suRPLUs TOTAL LIABILTTIES AND SURPLUS $ 502.28 1o,21s.32 18,259.87 $ 28,980.47 $ 3,800.00 $ 17,054.77 17 X054.77 ..p.. $ 14,741.83 G~,352._30 10,389.53 $ 7,275.00 30.32 7,244.68 $ 435.00 43.64 391.36 $ 1,118.00 65.22 1,052.78 22,878.35 $_5].,8.58.82 $ 62.24 15.82 165.1.0 $ 273.86 $ 39,323.02 2Q 261.94 $ 59,5$4.96 $ 6,aao.oo z,oao.oo __s__,ooo.oo 51,584.96 51 858.82 STATEMENT "A-1" VILLAGE OF MONTICELLO LIQUOR FUND BANK RECONCILIATION DECEMBER 31, 1961. BALANCE AS PER BANK STATEMENT DECEMBER 29, 1961 Add: Deposit in Transit TOTAL Less: Outstanding Warrants Number Date Payee Amount 2927 8-3-61 McKesson & Robbins $ 6,41 2952 8w31-61 Old Dutch Foods 36.15 2991 9-30-61 Cold Springs Beer .80 2996 9-30-61 McKesson & Robbins 242.51 3008 10-13-61 Griggs Cooper & Co, 809.03 3014 10-31.61 Miller Davis Co. 3.48 3021 10-31-61 Old Dutch Foods 24,30 3030 10-31-61 McKesson & Robbins 973.85 3044 ll-l3-61 Northern States Power Co, 130.51 3045 11-13-61 Northern States Power Co. 8.46 3046 11-28-61 Ed Phillips & Sons Co. 579.38 3055 11-3p-61 Coca Cola Bottling Co, 82.25 3056 11-30-61 Old Dutch Foods 27,00 3063 11-30-61 Electro Watchman 48.00 3071 11-30-61 Cold Springs Beer 7.D0 3074 12-4-61 Northern States Power Co, 5.15 3075 12-4-61 Nnrthern States Power Co. [+8.54 3076 12-5-61 Ed Phillips & Sons Ca. 236.33 3077 12-7-61 Edwin Daniels 50.01 3081 12-15-61 Northwestern Be 11 Telephone 1.20 3083 12-27-61 State Treasurer 1.50 3084 12-27-61 State Treasurer 3.50 30$5 12-27-61 Liquor Control Commissioner 1.00 3086 12-28-61 L. L. Hawkins - Petty Cash 48.27 30$8 12-29-61 Herman Lubber 314.00 3089 12-29-61 L. L. Hawkins 305.20 3090 12-29-61 Stanley Peters 199.06 3092 12-29-61 Bernard W. May & Co. 89.20 3093 12-29-61 L. A. Dick Co. 766.75 3095 12-29-61 Cold Springs Beer 6.75 3096 12-29-61 A. J. Ogle Co. 140,49 3097 12-29-61 Twin City .Iuice 6.60 3098 12-29-61 Seven Up Bottling Co, 28.65 3099 12-29-61 Coca Cola Bottling Co. 79.73 Page__]. $ 16,015.24 1,559.40 $ 17,574.64 STATEMENT "A-1" Pa e 2 A?~~mber Date P._ ayes Amount 3100 12-29-61 Albert~zille Beverage. $ 29.90 3101 12-29-61 Monticello ,lobbing Co. 95.46 3102 12-29-61 Old Dutch Foods 12.15 3103 12 29-61 St. Cloud Launderers 15.27 3104 12-29-61 Monti Oil Co. 88.16 3105 12-29-61 Leger Truck Co. 84.77 3106 12-29-61 Distillers Distributing Ca. 519.96 3107 12-29-61 McKesson & Robbins 5.75 3108 12-29-61 Famous Brands, Inc. 231.28 31Q9 12-29-61 Ed Phillips & Sans Ca. 394.29 3110 12-29-61 Ken's Appliance 20.60 3111 12-29-61 Production PrinCing Co. 12.00 3112 12-29-61 Monticello Times 18.00 3113 12-29-61 State Treasurer 57.54 3114 12-29-61 Northern Lakes Dist. Ca. 71.45 3115 12-29-61 M. M. Dahlheimer 139.69 3116 12-29-61 .lames Hopkins 142.50 3117 12-29-61 Northern States Power Co. 46.89 3118 12-29-61 Northern States Power Co. 4.33 3].19 12-29-61 Gerald Barthel 55.27 TOTAL OIITSTANDING WARRANTS $ 7,356.32 B.!~LANCE AS PER RECORDS DECEMBER 31 1961 Si. 10, 218.32 1 r VILLAGE OF MONTICELLO ' LI UOR FUND STATEMENT OF INCOME AND EXPENSE u SALES Liquor On Liquor Off Beer On ' Beer Off Miscellaneous mnmeT eerxc 1 COST OF SALES Beginning Inventory Add: Purchases and Freight TOTAL Less: Ending Inventory TOTAL COST OF SALES GROSS PROFIT ON SALES OPERATING EXPENSES Wages bight and Power Store Expense Store Supplies Professional Fees Bar Supplies Telephone Repairs Laundry Fuel Insurance Licenses and Dues Glassware Check Printing Burglar Alarm TOTAL OPERATING EXPENSE NET PROFIT FROM OPERATIONS OTHER INCOME STATEMENT "B'r For the Period % to For the Period "/, to 1-1-61 to 12-31-61 Sales 10-24w61 to 12-31-61 Sales $19,680.14 $ 3,812.32 47,829.99 11,229.06 11,601.83 1,664.45 14,115.93 2,254.14 10,.883..30 2~ 396.80 $x04,111.19 loo.oa $z1,3SS.77 100.00 $19,498.78 68,623.96 $88,122.74 x8? $12,632.50 787.76 350.51 82.55 980.00 61.26 75.50 203.74 257..66 447.50 513.20 80.00 9.60 9.50 i~ Q nn 69,862.87 67.10 $34,248.32 32.90 1628 15.88 $17,715.04 17.02 Purchase Discounts $ 2,976.$9 Cash Over 62.17 TOTAL OTHER INCOME 3,039.06 2.91 NET PROFIT BEFORE DEPRECIATION $20,754.10 19.93 Depreciation Expense 492.1b .47 ' NET INCOME FOR PERIOD 1 1 $20,261.94 19.46 $18,017.87 14,8.34_.95 $32,852.82 18,..259.87 $ 2,687.05 243.88 139.86 28.45 255.00 18.08 1. zo 58.00 48.83 146.16 74.59 6.00 -0 - _p. 48.00 $ 834.90 13.33 14,592.95 68.32 $ 6,765.82 31.68 3,755_,_10 17.58 $ 3,010.72 14.10 848.23 3.97 $ 3,858.95 18.07 117.80 .55 $ 3,741.15 17.52 1 sxATEME~T ~~c~~ Page ]. VTLLAGE OF MONTTCELLO ' LIQUOR FUND STATEMENT OF REVENUES ANA EXPENDITURES FOR THE PERIOD .TANUARY 1 1961 xO DECEMBER 31 1961 II ' REVENUES Liquor On Sale $ 19,680.14 Liquor Off Sale 47,$29.99 Beer On Sale 11,601.83 ' Beer Off Sale ].4,255.95 Miscellaneous Sales 10,883.30 Cash Over $ 17$.24 Less: Cash Short 115.53 62.71 TOTAL $104,313.92 Less: Case Deposit Paid Outs 140.02 xOTAL NET REVENUES EXPENDTTURES AND TRANSFER OUT Purchases $ 47,600.23 Less: Purchase Discounts 2,_972.89 $ 44,627.34 ' Beer Purchases 17,469.21 Miscellaneous Merchandise Purchases 3,014.66 Freight 490.56 ' Wages $ 12,632.50 Less: Payroll Deductions Federal Withholding Tax $ 822.53 ' State Withholding Tax 30.70 P.E.R.A. 757.99 ~,,, 1,611.22 11,021.28 Director of Internal Revenue - W. H. Tax 836.43 State xreasurer - P.E. R.A. 811.71 ' Light and Power 898.83 Stare Expense 364.79 Store Supplies Professional Fees $8.56 980.00 Bar Supplies 64.$7 Telephone 75.50 Repairs 306.46 Laundry 251.67 Fuel 480.10 Insurance 258.61 ' Licenses and Dues 80.00 Case Deposit Paid Outs 2.10 ' Check Printing Burglar Alarm Maintenance 9.50 4$.00 Refunds to General Fund Federal Withholding Tax $ 722.70 ' P.E.R.A. Payments 2$.50 Hospitalization Payments 268.15 1,019.35 1 $10[x,173.90 1 i~ Cap~.~8,1 0u~1_ay Sink and Cocktail Unit Illuminated Sign Building Improvements 1961 TOTAL EXPENDITURES Transfer Out to• Water Sinking Fund Street Improvement Fund TOTAL TRANSFER OUT TOTAL EXPENDITURES AND TRANSFER qUT EXCESS OF REVENUES OVER EXPENDITURES STATEMENT "C" Pate Z $ 435.00 z,zzs.oo 7 275.00 ~ 8,828.p_O $ 92,OZ7.53 $ 6,Op0.00 ~„ 2,000_.00 8 Op0.00 ~l00,02~.53 ~„ 4,14G,37