Republic of the Philippines
Province of Negros Oriental
Municipality of Ayungon
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
December 31, 2024
1. Profile
The Municipality of Ayungon was created by virtue of Governor General Order No. 31
series of 1924 by Governor General Leonard Wood on July 1, 1924. It is located northeast
of Negros Oriental and comprises approximately 28,168 square kilometers of land mostly
devoted to agricultural lands and housing communities. Its present population was reported
at 47,102 per the latest census of the Philippine Statistics Authority (PSA) as of May 1,
2020.
The local government unit (LGU) is envisioned to be the rice bowl of Central Negros, a
peaceful community of healthy and God-fearing people, moving ahead in a sustainably-
managed and ecologically-balanced environment.
2. Basis of Financial Statement Preparation
The consolidated financial statements of the LGU have been prepared in accordance with
and comply with the International Public Sector Accounting Standards (IPSAS). The
consolidated financial statements are presented in pesos, which is the functional and
reporting currency of the LGU. The accounting policies have been applied starting the year
2015.
3. Summary of Significant Accounting Policies
3.1 Basis of accounting
The consolidated financial statements are prepared on an accrual basis in
accordance with the IPSAS.
3.2 Consolidation
The controlled entities (funds) are all those over which the controlling entity
has the power to govern the financial and operating policies. The inter-group
transaction, balances, and unrealized gains and losses on transactions between
entities and funds are eliminated in full. The LGU maintains special accounts
under the General Fund for the following economic enterprises it operates:
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