In a highly controversial move, the mayor and city council approved the purchase of the Swim and Gym, a local private facility that was facing bankruptcy. The mayor promised the public that the facility would be operated on a business-like basis and would be fully supported by user fees. No city money was to be spent on the Swim and Gym. Critics of the purchase complain that city laborers are frequently seen at the facility, the facility was re-roofed during the first year, and employees at the facility are considered city employees and earn the same benefits as other city employees. To quiet the vocal opponents to the operation of the Swim and Gym, the mayor asked the internal audit department to conduct an audit of the operation. You are assigned to the task.
REQUIRED:
What are the issues you want to address in this audit?

Question

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The Answer of In a highly controversial move, the mayor and city council approved the purchase of the Swim and Gym, a local private facility that was facing bankruptcy. The mayor promised the public that the facility would be operated on a business-like basis and would be fully supported by user fees. No city money was to be spent on the Swim and Gym. Critics of the purchase complain that city laborers are frequently seen at the facility, the facility was re-roofed during the first year, and employees at the facility are considered city employees and earn the same benefits as other city employees. To quiet the vocal opponents to the operation of the Swim and Gym, the mayor asked the internal audit department to conduct an audit of the operation. You are assigned to the task.
REQUIRED:
What are the issues you want to address in this audit?

In a Highly Controversial Move, the Mayor and City Council