Statement on the management commentary
sidered material if, individually or in the aggregate, they could reasona-
bly be expected to influence the economic decisions of users taken on
the basis of these consolidated financial statements and these parent
financial statements.
Management is responsible for the management commentary.
Our opinion on the consolidated financial statements and the parent fi-
nancial statements does not cover the management commentary, and
we do not express any form of assurance conclusion thereon.
As part of an audit in accordance with ISAs and additional requirements
applicable in Denmark, we exercise professional judgement and main-
tain professional scepticism throughout the audit. We also:
In connection with our audit of the consolidated financial statements
and the parent financial statements, our responsibility is to read the
management commentary and, in doing so, consider whether the
management commentary is materially inconsistent with the consoli-
dated financial statements or the parent financial statements or our
knowledge obtained in the audit or otherwise appears to be materially
misstated.
◼
Identify and assess the risks of material misstatement of the con-
solidated financial statements and the parent financial statements,
whether due to fraud or error, design and perform audit procedures
responsive to those risks, and obtain audit evidence that is suffi-
cient and appropriate to provide a basis for our opinion. The risk of
not detecting a material misstatement resulting from fraud is higher
than for one resulting from error as fraud may involve collusion, for-
gery, intentional omissions, misrepresentations, or the override of
internal control.
Moreover, it is our responsibility to consider whether the management
commentary provides the information required under the Danish Fi-
nancial Business Act.
◼
Obtain an understanding of internal control relevant to the audit in
order to design audit procedures that are appropriate in the circum-
stances, but not for the purpose of expressing an opinion on the ef-
fectiveness of the Group's and the Parent's internal control.
Evaluate the appropriateness of accounting policies used and the
reasonableness of accounting estimates and related disclosures
made by Management.
Based on the work we have performed, we conclude that the manage-
ment commentary is in accordance with the consolidated financial
statements and the parent financial statements and has been pre-
pared in accordance with the requirements of the Danish Financial
Business Act. We did not identify any material misstatement of the
management commentary.
◼
◼
Conclude on the appropriateness of Management's use of the go-
ing concern basis of accounting in preparing the consolidated fi-
nancial statements and the parent financial statements and, based
on the audit evidence obtained, whether a material uncertainty ex-
ists related to events and conditions that may cast significant doubt
on the Group's and the Parent's ability to continue as a going con-
cern. If we conclude that a material uncertainty exists, we are re-
quired to draw attention in our auditor's report to the related disclo-
sures in the consolidated financial statements and the parent finan-
cial statements or, if such disclosures are inadequate, to modify
our opinion. Our conclusions are based on the audit evidence ob-
tained up to the date of our auditor's report. However, future events
or conditions may cause the Group and the Entity to cease to con-
tinue as a going concern.
Management's responsibilities for the consolidated financial
statements and the parent financial statements
Management is responsible for the preparation of consolidated finan-
cial statements that give a true and fair view in accordance with Inter-
national Financial Reporting Standards as adopted by the EU and ad-
ditional requirements under the Danish Financial Business Act, and
for the preparation of parent financial statements that give a true and
fair view in accordance with the Danish Financial Business Act, and
for such internal control as Management determines is necessary to
enable the preparation of consolidated financial statements and par-
ent financial statements that are free from material misstatement,
whether due to fraud or error.
In preparing the consolidated financial statements and the parent fi-
nancial statements, Management is responsible for assessing the
Group's and the Parent's ability to continue as a going concern, dis-
closing, as applicable, matters related to going concern and using the
going concern basis of accounting in the preparation of the consoli-
dated financial statements and the parent financial statements unless
Management either intends to liquidate the Group or the Parent or to
cease operations, or has no realistic alternative but to do so.
◼
Evaluate the overall presentation, structure and contents of the
consolidated financial statements and the parent financial state-
ments, including the disclosures in the notes, and whether the con-
solidated financial statements and the parent financial statements
represent the underlying transactions and events in a manner that
gives a true and fair view.
◼
Obtain sufficient appropriate audit evidence regarding the financial
information of the entities or business activities within the Group to
express an opinion on the consolidated financial statements. We
are responsible for the direction, supervision and performance of
the group audit. We remain solely responsible for our audit opinion.
Auditor's responsibilities for the audit of the consolidated finan-
cial statements and the parent financial statements
Our objectives are to obtain reasonable assurance about whether the
consolidated financial statements and the parent financial statements
as a whole are free from material misstatement, whether due to fraud
or error, and to issue an auditor's report that includes our opinion. Rea-
sonable assurance is a high level of assurance, but is not a guarantee
that an audit conducted in accordance with ISAs and additional require-
ments applicable in Denmark will always detect a material misstatement
when it exists. Misstatements can arise from fraud or error and are con-
We communicate with those charged with governance regarding,
among other matters, the planned scope and timing of the audit and
significant audit findings, including any significant deficiencies in inter-
nal control that we identify during our audit.
Nykredit Bank – Annual Report 2020
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