Queensland Art Gallery Annual Report 2006-07

QUEENSLAND ART GALLERY ANNUAL REPORT 06–07 / appendixes 86 Report on the Financial Report I have audited the accompanying financial report of the Queensland Art Gallery Board of Trustees, which comprises the balance sheet as at 30 June 2007 and the income statement, statement of changes in equity and cash flow state- ment for the year ended on that date, a summary of significant accounting policies, other explanatory notes and certificates given by the Chairman and the Director of the consolidated entity comprising the Board and the entities it controlled at the year's end or from time to time during the financial year. The Board's Responsibility for the Financial Report The Board is responsible for the preparation and fair presentation of the financial report in accordance with prescribed accounting requirements identified in the Financial Administration and Audit Act 1977 and the Financial Management Standard 1997 including compliance with applicable Australian Accounting Standards (including the Australian Accounting Interpretations). This responsibility includes establishing and maintaining internal controls relevant to the preparation and fair presentation of the financial report that is free from material misstatement, whether due to fraud or error; selecting and applying appropriate accounting policies; and making accounting estimates that are reasonable in the circumstances. Auditor's Responsibility My responsibility is to express an opinion on the financial report based on the audit. The audit was conducted in accordance with Auditor-General of Queensland Auditing Standards , which incorporate the Australian Auditing Standards . These Auditing Standards require compliance with relevant ethical requirements relating to audit engagements and that the audit is planned and performed to obtain reasonable assurance whether the financial report is free from material misstatement. An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial report. The procedures selected depend on the auditor's judgement, including the assessment of risks of material misstatement in the financial report, whether due to fraud or error. In making those risk assessments, the auditor considers the entity's preparation and fair presentation of the financial report 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, other than in expressing an opinion on compliance with prescribed requirements. An audit also includes evaluating the appropriateness of accounting policies and the reasonableness of accounting estimates made by the Board, as well as evaluating the overall presentation of the financial report and any mandatory financial reporting requirements as approved by the Treasurer for application in Queensland. I believe that the audit evidence obtained is sufficient and appropriate to provide a basis for my audit opinion. Independence The Financial Administration and Audit Act 1977 promotes the independence of the Auditor-General and QAO authorised auditors. The Auditor-General is the auditor of all Queensland public sector entities and can only be removed by Parliament. The Auditor-General may conduct an audit in any way considered appropriate and is not subject to direction by any person about the way in which audit powers are to be exercised. The Auditor-General has, for the purposes of conducting an audit, access to all documents and property and can report to Parliament matters which in the Auditor-General's opinion are significant. Auditor's Opinion In accordance with s.46G of the Financial Administration and Audit Act 1977 – (a) I have received all the information and explanations which I have required; and (b) in my opinion - (i) the prescribed requirements in respect of the establishment and keeping of accounts have been complied with in all material respects; and (ii) the financial report has been drawn up so as to present a true and fair view, in accordance with the prescribed accounting standards of the transactions of the Queensland Art Gallery Board of Trustees and the consolidated entity for the financial year 1 July 2006 to 30 June 2007 and of the financial position as at the end of that year. RW HODSON CPA as Delegate of the Auditor-General of Queensland Queensland Audit Office Brisbane independent audit report  To the Queensland Art Gallery Board of Trustees