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CITY OF SHROUD, OKLAHOMAReport on Audit of Financial Statements June 30, 2017CITY OF SHROUD, OKLAHOMATABLE OF CONTENTS June 30, 2017Page # Independent Auditors Report12Managements Discussion and Analysis38Basic
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A component unit is a separate legal entity that is included in the financial statements of a primary government due to its financial relationship with that government.
Entities that are considered component units by a primary government are required to file a component unit of.
To fill out a component unit of, provide accurate financial data, complete the relevant sections regarding governance and financial information, and ensure compliance with applicable accounting standards.
The purpose of a component unit is to provide transparency and accountability in the financial reporting of related entities that receive significant financial support or have significant governance relationships with a primary government.
Information that must be reported includes financial statements, governance structure, significant transactions with the primary government, and any related financial disclosures.
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