Navy financial activity

The Navy recently issued an annual report that looks at the service's financial activity.

"Financial improvement is progressing with the Navy undergoing the first audit of its Schedule of Budgetary Activity for fiscal year 2015 appropriations," the report, dated November 2015, reads. "This key milestone is a significant step forward in addressing the congressional mandate to achieve audit ready financial statements by September 30, 2017."

The "Fiscal Year 2015 Annual Financial Report" further states:

The path to auditability will result in improved stewardship, reduced cost of business operations, and compliance with Congressional direction. While executing DoD Financial Improvement and Audit Readiness (FIAR) activities, the DON continues to focus efforts to ready people, processes, and business systems for a financial audit. The DON understands fundamental improvements that establish tighter internal controls and more standardized processes are needed within its operations. The DON has employed control gap analysis to identify when a command's processes and/or controls differ significantly from suggested controls, allowing the DON to track and address significant deviations.

Here's a chart from the report that describes accounting weaknesses the service found in FY-15: