Exchange Rates. The Auditor verifies that amounts of expenditure incurred in a currency other than the Euro have been converted at the exchange rate applicable according to the terms and conditions ofthe Country Housing Project Support Grant Agreement. Reports shall be submitted in the currency set out in the Grant Agreement, and may be drawn from financial statements denominated in other currencies, on the basis of the Beneficiary's applicable legislation and applicable accoimting standards. Reporting on expenditure shall be expressed in EUR or, should payments be made in any other currency, by converting the corresponding amounts into EUR at the exchange rate ofthe date of conversion of the corresponding Grant Tranche into local currency. The Auditor carries out an analytical review of the expenditure headings in the Progress Reports. The Auditor verifies that the budgets in the Progress Reports correspond with the budget of the Grant Agreement (authenticity and authorisation of the initial budget) and that the expenditure incurred was indicated in the budget ofthe Grant Agreement. The Auditor verifies whether there have been amendments to the budget of the Grant Agreement. Where this is the case the Auditor verifies that the Beneficiary has: • requested an amendment to the budget and obtained an addendum to the Grant Agreement if such an addendum was required according to the terms and conditions of the Grant Agreement; • informed the Contracting Authority about the amendment if an addendum to the Grant Agreement was not required by its terms and conditions. The Auditor verifies, for each expenditure item selected, the eligibility criteria set out below. The Auditor verifies that the actual expenditure for a selected item was incurred by and pertains to the Beneficiary. The Auditor should take into account the detailed conditions for actual costs incurred as set out in the terms and conditions of the Country Housing Project Support Grant Agreement. For this purpose the Auditor examines supporting documents (e.g. invoices, contracts) and proof of payment. The Auditor also examines proof of work done, goods received or services rendered and he/she verifies the existence of assets if applicable. Costs incurred during the reporting period of Progress Reports under examination but not yet paid by the cut-off date of the last Progress Report under examination can be accepted as actual costs incurred, provided that (1) a liability exists (order, invoice or equivalent) for ser...
