KU2020
Responsibilities of the Board of Directors for the Financial Report
The Directors of the Entity are responsible for the preparation of the financial report that gives a true and fair view in accordance with Australian Accounting Standards – Reduced Disclosure Requirements and the ACNC Act and for such internal control as the Directors determine is necessary to enable the preparation of the financial report that gives a true and fair view and is free from material misstatement , whether due to fraud or error .
In preparing the financial report , the Directors are responsible for assessing the ability of the Entity to continue as a going concern , disclosing , as applicable , matters related to going concern and using the going concern basis of accounting unless the Directors either intend to liquidate the Entity or to cease operations , or has no realistic alternative but to do so .
Auditor ’ s Responsibilities for the Audit of the Financial Report
Our objectives are to obtain reasonable assurance about whether the financial report as a whole is free from material misstatement , whether due to fraud or error , and to issue an auditor ’ s report that includes our opinion . Reasonable assurance is a high level of assurance , but is not a guarantee that an audit conducted in accordance with the Australian Auditing Standards will always detect a material misstatement when it exists . Misstatements can arise from fraud or error and are considered material if , individually or in the aggregate , they could reasonably be expected to influence the economic decisions of users taken on the basis of this financial report .
As part of an audit in accordance with the Australian Auditing Standards , we exercise professional judgement and maintain professional scepticism throughout the audit . We also :
• Identify and assess the risks of material misstatement of the financial report , whether due to fraud or error , design and perform audit procedures responsive to those risks , and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion . The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error , as fraud may involve collusion , forgery , intentional omissions , misrepresentations , or the override of internal control .
• Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances , but not for the purpose of expressing an opinion on the effectiveness of the Entity ’ s internal control .
• Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the Directors .
• Conclude on the appropriateness of the Directors ’ use of the going concern basis of accounting and , based on the audit evidence obtained , whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Entity ’ s ability to continue as a going concern . If we conclude that a material uncertainty exists , we are required to draw attention in our auditor ’ s report to the related disclosures in the financial report or , if such disclosures are inadequate , to modify our opinion . Our conclusions are based on the audit evidence obtained up to the date of our auditor ’ s report . However , future events or conditions may cause the Entity to cease to continue as a going concern .
• Evaluate the overall presentation , structure and content of the financial report , including the disclosures , and whether the financial report represents the underlying transactions and events in a manner that achieves fair presentation .
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