We have reviewed the report of the financial operations which involve the general funds of the Church, together with other organizations for which accounts are maintained by the Financial Department of the Church, for the fiscal year ended August 31, 1972. Attention was given particularly to the accounting and auditing procedures followed as to funds received and to the manner in which expenditures are controlled. We have determined that the expenditures of such funds were authorized by the First Presidency and by budgetary procedures. The budget is authorized by the Council on Disposition of the Tithes comprised of the First Presidency, the Council of the Twelve, and the Presiding Bishopric.
The Financial Department of the Church has kept pace with current technological developments in record keeping and employs modern data processing equipment in maintaining its accounts. Auditing techniques and procedures are keeping abreast of the increased use of data processing equipment.
A regular audit of the organizations referred to above is conducted on a world-wide basis by the Church Auditing Department, which is completely independent of all other departments. The audit of local funds of wards and stakes is assigned to stake appointed auditors. Incorporated businesses owned or controlled by the Church, for which accounts are not maintained in the Financial Department are audited by professional auditing firms or by governmental regulatory agencies. New and expanded accounting controls and auditing procedures are being inaugurated in the Welfare Department pursuant to the reorganization of that Department.
Based upon our review of the financial reports of the operations which involve the general funds of the Church, and explanations made by personnel of the Financial and Auditing Departments, we are of the opinion that the general funds of the Church have been properly accounted for and expenditures of funds during the fiscal year ended August 31, 1972 were made in accordance with the established procedures outlined herein.
CHURCH FINANCE COMMITTEE
Wilford G. Edling
Harold H. Bennett
Glenn E. Nielson
Weston E. Hamilton