Month: December 2021

Statutory audit of a public company implies the audit of the transactions of the company which are the subject-matter of the report under section 165(4). The auditor, however, has to certify as correct only as much of the Statutory Report… Read More

It is an audit process for verifying the cost of manufacture or production of any article, on the basis of accounts as regards utilisation of material or labour or other items of costs, maintained by the company. According to sub-section… Read More

Section 233 A empowers the Central Government, in certain cases, to call for a ‘special audit’. Such an audit may be required where the Central Government has reasons to believe:  that the affairs of the company are not being managed… Read More

The practice of appointing Chartered Accountants as joint auditors is quite widespread in big companies and corporations. Joint audit basically implies pooling together the resources and expertise of more than one firm of auditors to render an expert job in… Read More

The accounts of the branch office of a company are required to be audited either by the company’s auditor appointed under section 224 or by a person qualified for appointment as contemplated by section 226 or, where the branch office… Read More

In terms of the general principles of law, any person having the lawful possession of somebody else’s property, on which he has worked, may retain the property for non-payment of his dues on account of the work done on the… Read More

As laid down by section 229 of the Companies Act, 1956 only the person appointed as the auditor of the company or where a firm is so appointed, only a partner in the firm practising in India may sign the… Read More

SPECIMEN AUDITOR’S REPORT TO THE MEMBERS OF THE COMPANY The Members of ………………(name of the Company)1 1. We have audited the attached balance sheet of ………………. (name of the company), as at 31st March 20XX, the profit and loss account… Read More

The following paragraphs deal with the manner of qualification and the manner of disclosure, if any, to be made in the auditor’s report. AS-1 – DISCLOSURE OF ACCOUNTING POLICIES In the case of a company, members should quality their audit… Read More

Limitation on Scope: A limitation on the scope of the auditor’s work may sometimes be imposed by the entity, for example, when the terms of the engagement specify that the auditor will not carry out an audit procedure that the… Read More