1. Reasons for Amendment

The amendment adds matters to check in addition to financial statements when an external accounting audit of a private school institution is conducted and adds important financial information that must be submitted separately, thereby encouraging auditors to engage in auditing activities in an attentive manner and enhancing the effectiveness of external accounting audits.

2. Major Provisions

A. Add information concerning reserves and pre-establishment budgets to the scope of matters that require verification in addition to financial statements to ensure that external auditors check for violations of the relevant laws and regulations (Article 7).

B. Reflect the above amendment to matters requiring verification in addition to financial statements in attached Forms 1 and 2, and address a number of items that are missing from “Important Financial Information” in Form 4 regarding Article 8 (Forms 1, 2, and 4).