REGIONAL OFFICE NO. VII
M.J. Cuenco Avenue, Corner V. Sotto Street, Cebu City
INDEPENDENT AUDITOR’S REPORT
HONORABLE RAFFY ALIPIO S. ANDAYA
Municipal Mayor
Municipality of Manjuyod
Province of Negros Oriental
Qualified Opinion
We have audited the financial statements of the Municipality of Manjuyod, Province of
Negros Oriental, which comprise the statement of financial position as at December 31,
2024, and the statement of financial performance, statement of changes in net assets/equity,
statement of cash flows and statement of comparison of budget and actual amounts for the
year then ended, and notes to the financial statements, including a summary of significant
accounting policies.
In our opinion, except for the effects of the matter described in the Bases of Qualified
Opinion section of our report, the accompanying financial statements present fairly in all
material respects, the financial position of the Municipality of Manjuyod, Negros Oriental as
at December 31, 2024, and its financial performance, its cash flows, and its statement of
comparison of budget and actual amounts for the year then ended in accordance with
International Public Sector Accounting Standards (IPSAS).
Bases for Qualified Opinion
As discussed in Part II of this report, the Inventory Committee was not able to conduct a
complete physical inventory count for the one-time cleansing of the Property, Plant, and
Equipment (PPE) accounts, thereby raising concerns about the existence and fairness of the
presentation of the PPE balances of ₱452,816,644.68 in the financial statements, including
movable properties totaling ₱68,683,853.89, as of December 31, 2024.
Furthermore, the entire Loans Payable account amounting to ₱95,973,110.17 was incorrectly
classified as a current liability despite including amortizations due from 2026 to 2039,
thereby overstating current liabilities by ₱89,158,886.28, understating the non-current
liabilities by the same amount, and affecting the fair presentation and reliability of the
financial statements as of year-end.
Moreover, the Cash – Local Treasury account balance per general ledger in the total amount
of ₱1,292,249.00 as of December 31, 2024 does not reconcile with the cashbook balance of
₱258,739.86, resulting in an unreconciled difference of ₱1,033,509.14, thus affecting the fair
presentation of the recorded balance of the Cash account in the financial statements.
