PowerPlusWaterMarkObject25816923 Review Report – Modified Opinion The Following

powerpluswatermarkobject25816923 review report – modified opinion ================================ the following review report is not

PowerPlusWaterMarkObject25816923
Review report – modified opinion
================================
The following review report is not intended to be a standard review
report. It is to be used as a guide only and will need to be adapted
according to individual association’s requirements and circumstances.
To the members of ABC Club Inc.:
Report on the financial report
------------------------------
I have reviewed the accompanying financial report of ABC Club Inc.
(the association) which comprises of the Balance sheet as at 31
December 2016, the income statement, statement of changes in equity
and statement of cash flows for the year then ended, notes comprising
a summary of significant accounting policies and other explanatory
information, and the committee’s report.
Committee’s responsibility for the financial report
---------------------------------------------------
The committee of the association are responsible for the preparation
of the financial report that gives a true and fair view in accordance
with Australian Accounting Standards and the Associations
Incorporation Reform Act 2012. The committee determines that the
internal control 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.
Auditor’s responsibility
------------------------
Our responsibility is to express a conclusion on the financial report
based on my review.
I have conducted my review in accordance with Auditing standard on
review engagements ASRE 2410/ASRE2415 in order to state whether, on
the basis of the procedures described, anything has come to my
attention that causes me to believe that the financial report is not
presented fairly, in all material respects, in accordance with the
Associations Incorporation Reform Act 2012. As the auditor of the
association, ASRE2410/ASRE2415 requires that I comply with the ethical
requirements relevant to the audit of the annual financial report.
A review of a financial report consists of making enquiries, primarily
of persons responsible for financial and accounting matters, and
applying analytical and other review procedures.
A review is substantially less in scope than an audit conducted in
accordance with Australian Auditing Standards and consequently does
not enable me to obtain assurance that I would become aware of all
significant matters that might be identified in an audit. Accordingly,
I do not express an audit opinion.
Independence
------------
In conducting our review, we have complied with the independence
requirements of the Australian professional ethical pronouncements.
Basis for qualified conclusion
------------------------------
As is common for not-for-profit organisations, it is not practicable
for the association to maintain an effective system of internal
control over income including donations and fundraising activities
until their initial entry into its financial records. Accordingly, our
review on the association’s income was limited to the amounts recorded
in the financial records. We are therefore unable to express an
opinion whether the income including donations and fundraising
activities is complete
Qualified opinion
-----------------
Based on our review which is not an audit, with the exception of the
matter described in the preceding paragraph, the financial report
presents fairly, in all material respects, the financial position of
ABC Club Inc. as at 31 December 2016 and of its financial performance
for the year then ended in accordance with the accounting policies
described in Note 1 to the financial statements, and the Associations
Incorporation Reform Act 2012.
Basis of accounting and restriction on distribution
---------------------------------------------------
Without modifying our opinion, we draw attention to Note 1 to the
financial report, which describes the basis of accounting. The
financial report has been prepared to assist ABC Club Inc. to meet the
requirements of the Associations Incorporation Reform Act 2012. As a
result the report may not be suitable for another purpose.
[Auditor’s signature]
[Date of the auditor’s review report]
[Auditor’s address]
Note: Auditor to consider obligations to communicate to the
association about significant findings from the audit by way of a
letter to committee members as per the requirements of ASRE2410 Review
of a financial report performed by the independent auditor of the
entity (A38-A40).