The financial audit includes the audit of financial statements and the audit of compliance, which means that the Supreme Audit Office when performing the financial audit in accordance with the adopted audit standards will:
- determine whether the audited financial statements truthfully and objectively, in all materially significant aspects, show the financial condition of assets and resources, business performance, cash flows, and budget execution, in accordance with the prescribed framework of financial reporting and
- assess whether regulations are applied and whether funds are used for appropriate purposes and evaluate financial management, the internal audit function, and the system of internal controls.
The financial audit is conducted in accordance with legal provisions and the relevant ISSAI financial audit standards 2200-2810 and ISSAI 4000 – Compliance Audit Standard.
Auditing of financial statements is carried out by audit teams, according to the Annual Audit Plan, which is adopted by the Auditor General and considered by the Audit Committee of the National Assembly of the Republic of Srpska, and which includes audits that are mandatory every year and audits that are periodically planned and carried out in accordance with the available capacities.
The results of each individual financial audit are reported through the final report on the conducted financial audit, which contains the opinion of the auditor general on the financial statements, the opinion of the auditor general on compliance and findings, conclusions, and recommendations.
Every year, the Supreme Audit Office, except for audits of individual entities, conducts an audit and gives an opinion on the Consolidated Annual Financial Report for the budget users of the Republic of Srpska.