Federally Chartered Corporation: Review of the Financial	 
Statement Audit Reports for the National Academy of Sciences for 
1999-2002 (21-NOV-03, GAO-04-185R).				 
                                                                 
GAO reviewed the audit reports covering the financial statements 
of the National Academy of Sciences, for the years ended December
31, 1999 through December 31, 2002. GAO found no reportable	 
instances of noncompliance. The audit reports included the	 
auditors' opinion that the financial statements of the		 
corporation were presented fairly in accordance with generally	 
accepted accounting principles. 				 
-------------------------Indexing Terms------------------------- 
REPORTNUM:   GAO-04-185R					        
    ACCNO:   A08922						        
  TITLE:     Federally Chartered Corporation: Review of the Financial 
Statement Audit Reports for the National Academy of Sciences for 
1999-2002							 
     DATE:   11/21/2003 
  SUBJECT:   Accounting standards				 
	     Audit reports					 
	     Federal corporations				 
	     Financial statement audits 			 
	     Reporting requirements				 

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GAO-04-185R

United States General Accounting Office Washington, DC 20548

November 21, 2003

The Honorable F. James Sensenbrenner, Jr. Chairman, Committee on the
Judiciary House of Representatives

Subject: 	Federally Chartered Corporation: Review of the Financial
Statement Audit Reports for the National Academy of Sciences for 1999-2002

Dear Mr. Chairman:

As requested, we reviewed the audit reports covering the financial
statements of the National Academy of Sciences, a federally chartered
corporation, for the years ended December 31, 1999, through December 31,
2002. The corporation operates as a society of distinguished scholars
engaged in scientific or engineering research, dedicated to the
furtherance of science and its use for the general welfare.

Federally chartered corporations are required under 36 U.S.C. 10101 to

o  	present the corporation's assets and liabilities and reasonable detail
on the corporation's income and expenses in annual financial statements,
and

o  obtain an annual financial audit by an independent public accountant.

The objective of our review was to determine whether the audit reports
complied with the financial reporting requirements of the law. In carrying
out our work, we reviewed the corporation's financial statements and the
accompanying notes, performed certain analytical procedures related to
information presented in the financial statements, and reviewed the
auditors' reports. However, we did not review the auditors' working
papers, and we are not rendering an audit opinion. Our review disclosed no
reportable instances of noncompliance with the financial reporting
requirements of the law.

                    GAO-04-185R National Academy of Sciences

The audit reports included the auditors' opinions that the financial
statements of the
corporation were presented fairly in accordance with U.S. generally
accepted
accounting principles. We are returning the audit reports you sent with
your letter.

Sincerely yours,

Jeanette M. Franzel
Director
Financial Management and Assurance

w/o Enclosures

(194362)

Page 2

GAO-04-185R National Academy of Sciences

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