What does the law state about the board's financial responsibility?

The correct choice clarifies the responsibilities of the board concerning financial oversight and governance. The law mandates that the board implement its own policies regarding the budget and audits, ensuring that financial management aligns with established guidelines and objectives. This reflects a level of accountability and the need for the board to actively oversee financial matters rather than solely delegating these responsibilities to other individuals or entities.

By enshrining this in law, it ensures that the board remains engaged in the financial oversight process, fostering transparency and adherence to policies that govern the use of funds and the integrity of financial reporting. This requirement also emphasizes principles of good governance, where the board's role includes strategic decision-making about finances to support the organization effectively.

In contrast, other options either misrepresent the division of responsibilities or suggest a lack of governance oversight by the board itself. It is crucial for a board to be involved in financial policy implementation to uphold standards and practices that protect public interest and organizational integrity.