The Issues Of The Companies Act

Furthermore, when the internal control is fixed, the outside auditor can rely on the clients system and less audit testing can be conducted. When everything is improved, the management letter is given to the organization’s top management and not disclosed to the public, (Finkler, S. A., Ward, D. M., & Calabrese, T. D., 2013). Next, is the auditor’s report that entails the opinion letter usually written in three paragraphs and given to the board of trustees. Then, the opinion paragraph is added on to state the organizations financial statements are in accordance of the financial position and followed through with (GAAP). The clean opinion addresses the opinion of the auditor and the overall exercising of professionalism. Also, the complete opinion of the financial statements is to give a representation of the organization. All other opinions may be included and can be addressed by adverse opinions if (GAAP) was not in accordance. A qualified opinion can be added if a specific area wasn’t included in the financial statement when needed. Finally, the management reports are conducted by the management team and not the auditors. The management report is the annual report the topics included in the report are the internal control system and the responsibility of the audit committee.

According to the pro and contra Section 203D and 203E of the Corporations Act as above, most judges and scholars agree that the procedure of removal directors as stipulated in the Corporations Act provides fairness treatment for the directors who may be removed. However, they still strongly argue whether the Section 203D is mandatory or not. Moreover, they questioned the existence of Section 203E since it eliminates flexibility for companies to make decision particularly in the emergency situation as explained above. Therefore, in order to provide broader perspectives about the relevancy of Section 203D and Section 203E, it is necessary to compare the procedure of removal directors in the Australian legislation with the

If the accounts and projections are not updated, then the financial statements will mislead the auditors, bank officials and the users of the financial information in their judgment of the company’s financial health. This practice is dishonest and contradicts the integrity principle per the Code of Conduct. The objectivity principle states that the professionals should not be prejudiced and should be free of conflicts of interest in discharging their duties diligently. The question here is whether there is any basis on which Bill and Dan may not make disclosures to the external auditors or anyone else. What can be the best procedure to comply with the relevant laws and regulations so as not to discredit the profession and the company? These dilemmas can be solved by involving the Directors and the audit

Most of the Australian corporation law has been brought from Company Law of United kingdom. Australian corporation law legally structured by only one national statute, i.e. Corporation Act 2001. The Australian Securities and Investments Commission is the only regulatory authority who administrate this statute (Corporation Act 2001) throughout the whole nation. ASIC regulates Australia’s corporate, markets and financial services. This authority is set up as per and administer the ASIC Act 2001. ASIC carries most of its work according to the Corporation Act 2001. In the essay below with the help and reference of some case examples and subsections of Corporation Act 2001 I have discussed about the signs of insolvent company, what actions should

In section 206, “The CEO, Controller, CFO, Chief Accounting Officer or person in an equivalent position cannot have been employed by the company's audit firm during the 1-year period preceding the audit”. This section aim to reduce the chance of manipulation by high position of accounting firms and make sure accounting firms’

In this article, the policy change introduced by ASIC (Australia securities and investment commission) stating about three new accounting standards were discussed. These accounting standards were introduced to simplify the account recording process, and to accurately present the relevant information to the clients. The statement presenting for the company are quite important, and the management has to do it in accordance with the set out standards, this assists in overpowering the business challenges and in controlling the operational works. The changes were introduced in the AASB 9 and AASB 15 statements. The other changes were introduced in the AASB 16 for leases.

Regulation is defined as a set of rules that is designed to control and govern conduct by authority (Deegan 2009, p.59). On the basis of this definition, Deegan (2009, p.59) has defined regulations relating to financial accounting as rules that are developed by independent authoritative body to govern the preparation of financial statements which are accounting standards. Since decades ago, there have been arguments for and against the existence of accounting regulations. With a stance of pro-regulation, this essay is going to examine the reasons that financial accounting and reporting should be regulated and the merits of accounting regulations.

As well as auditor governance, businesses are also provided with guidance, in the form of the companies’ act, i.e. the CA 2006 part 15 which details company responsibilities with regards to accounts and reports. This outlines duties, i.e. the duty to keep accounting records and states that directors mustn’t approve accounts unless they “give a true and fair view” notes.

It is important to be aware that financial accounting is an area in accounting where all financial transactions of the corporation are recorded in. It is a process that through time has become the systematic way for record keeping of all off a corporation’s transactions in order to be able to report the data in an efficient manner. It is because of this that is so highly regulated by the reporting authorities. The framework laid out by the IASB. It is within these standards that all the rules and regulations relevant to all aspects of accounting are laid out. These standards are prepared and explained in a very simplified, yet comprehensive manner, in order to allow financial accountants to perform their day to day operations. Moreover, it is to ensure that there is conformity and uniformity in all aspects of

The auditor’s responsibilities are to audit annual financial statements and internal controls over financial reporting, and reports from the 10-Q quarterly reports. The auditor must also advice on new accounting pronouncements, and consolidating financial statements. (Intel Proxy Statement 2011, 48)

The amended Indian Company Law incorporated the responsibility and accountability of independent directors and auditors and provided for the compulsory rotation of the auditors and audit firms. It provided for the duty of the auditors to report the fraudulent acts noticed by them during the performance of their duties.

This chapter evaluates the features of disputes related to shareholders in private companies with regard to the Companies Act of 2006. The chapter will also discuss empirical research as well as its findings related to the Companies Act of 2006 coupled with various disputes and arguments related with it. It will include various claims with regard to the nature of such disputes and arguments along with the evidence available. Contemporary literature states that private companies are mostly established based on personal relationships and mutual trust of shareholders. In case there is any breakdown in shareholders’ relationships, then disputes may happen and these are known to be called as “exit disputes”. This

There has been an astronomical rise in the cross-sector partnerships between corporate and non-corporate entities for achieving profit and non-profit objectives in UK alone in the past decade alone. These corporate entities are showing more interest in collaborations with social enterprises for working towards initiating a transformative change for a more equitable society whilst at the same time meeting financial objectives. These established corporate bodies help the social enterprises to broaden their reach, deepen their impact and extend their growth. To sustain the big businesses playing an important a role in improving society, law makers and judiciary should take into account the ground situation and

Barriers to Collaboration: A Review on the Impact of Companies Act 2006 [Type the document subtitle] [Pick the date] [Type the company name] pc   Table of Contents 1 Chapter 1: Introduction 4 1.1 Background to Study 4 1.2 Purpose of the Research 5 1.3 Research Aims and Objectives 6 1.4 Research Questions 6 1.5 Research Hypothesis 6 2 Chapter 2: Research Methodology 7 2.1 Introduction 7 2.2 Research Philosophy 7 2.3 Justification for choice of research philosophy– interpretivism 8 2.4 Research Approach 8 2.4.1 Deductive Approach – choice of research approach and justification 9 2.4.2 Mixed methods research 10 2.5 Research Design 10 2.6 Data Collection and Analysis 11 2.7 Sample size, method of data collection and justification 11 2.8 Ethical Issues 11 2.9 Validity and Reliability 12 2.10 Time Horizon 12 3 Chapter 3 - Literature Review 14 3.1 Introduction 14 3.2 The Company Act 2006 14 3.3 Shareholder Disputes 15 3.4 Informal Company Management 17 3.5 Barriers in Supply Chain Civil Industry 17 3.6 Collaborative Working and Conceptual Background 21 3.7 Managing Collaboratively 23 3.8 Main Contractor – Subcontractor Conflicts in Work Relationship 25 4 Chapter 4: Data Analysis and Interpretation 30 4.1 Quantitative Analysis 30 4.1.1 Shareholders’ Collaboration 30 4.1.2 Barriers to Shareholders’ Collaboration 32 4.1.3 Supply Chain collaboration 35 4.2 Comparison with Amendments made in Companies Act of India 48 4.3 Special Focus on Collaboration among Construction Companies 50

This article initiates with the introduction on what is audit planning. It basically addresses the audit plan strategy of K & S Corporation limited’s Financial Statements. Being an external auditor of the company, key factors to be considered in auditing the financials of the subject company have been discussed in the article. The most significant accounts at risk being materially misstated have been critically examined citing the possible risks associated with such accounts. Last but not the least, the article concludes with recommendations with respect to audit assessment plan of the company. Hence, this article seeks to act as a ready reckoner guide for an audit manager in audit planning of K & S Corporation Limited.