Chap 11 Accounts And Annual Return Flashcards
Books and paper
Books of account
Cost accounting records
Minutes, register, voucher etc
Books of account
- Sum received and paid
- Sales and purchases
- Assets and liabilities
- Cost accounting records
Place of keeping (books of accounts)
At registered office
At any other place- provided if board resolution is passed
Registrar is notified within 7 days
At branch office - books relating to branch
Provided summarised returns are sent to registered office
Period of retention of books of account
At least 10 preceding Financial years
Inspection of Books of Account
-By directors (including copies of books maintained outside pakistan)
-By members (if authorised by act, general meeting or board)
Period covered by f/s
First
From incorporation till close of financial year
Period covered by f/s - subsequent
From preceding financial year till close of financial year adopted by company
Not to exceed 12 months (unless approved by registrar)
When to present Financial statements
To be presented in Agm
- First within 16 months of incorporation
- Subsequent within 120 days of close of financial year
And once in each calendr year - Extension upto 3o days by commion or registrar
Financial statements are approved by
Board
F/s are signed by
Atleast 1 director and CEO
If ceo is not present in Pakistan then by atleast 2 directors
Also CFO if listed
F/s of SMC signed by 1 director
Quarterly fs are prepared
1st quarter - 3o days of close
Extension upto 3o days by commission
2nd quarter - 60 days of close
Limited scope review by auditor
3rd quarter - 30 days of close
Quarterly f/s approved and authenticated
Same as f/s
Filing requirement of f/s - before agm
For listed company
3 copies by post to secp, registrar and stock exchange
1 copy electronically to secp, registrar and stock exchange
Upload on website
(Simultaneously dispatch to members)
Filing of fs - after agm (not for pvt company with paid up capital 10m or less)
To registrar
Within 15 days (if unlisted)
Within 30 days (if listed)
If f/s are not adopted or agm is adjourned . Notify registrar .along with fs and report
Filing of quarterly f/s
Electronically to commission, registrar and stock exchange
Consolidated fs requirement
Attached to financial statements of every holding company
(Except pvt co with puc upto 1m)
Shall be audited by auditor of holding co
Financial year of consolidated
If gap is upto 90 days
Comission shall facilitate by extending filing of fs/agm
If gap is more than 90 days
Subsidiary shall make interim closing on year end of holding company
Disclosure requirement of consolidated fs
Comply Financial reporting standards and schedule
Include info about qualification of subsidiary which is material for members of holding company
Directors report - which companies are required to prepare
Public company
Private company subsidiary of public company
Private company with paid up capital more than 3 m
Content of director report
Director report of every company
Statement of affairs of company and fair review of business
Particulars of amount recommended as dividend
Particulars of amount transferred to reserve account
Additional content of director report in case of public company
-Name of persons who were directors anytime during the financial year
-Principal activities and performance of business
-Material changes occurred during the financial year
-Subsequent events affecting financial position
- Explanation if auditor explained modified opinion
-Pattern of shareholding
-Name of holding company and country of incorporation
- Eps
- Info about default in payments of debt
- Description of principal risk and uncertainties
- Comments in respect of adequacy of internal control
- Remuneration package of each director and chief executive
- Any other info as may be specified
Statement of compliance
Commission may direct directors to prepare statement of compliance and attach with financial statements
Authentication of DR and stat of compliance
Approved by board
Signed by chief executive and director of the company
Annual return
What is included?
General info about company as specified date
Ceo, directors, company secretary, legal advisor, auditor, Registered office address, members and share capital
Requirement to file annual return
Annual return shall be filed to registrar in specified form
Form A ( for company having share capital)
Form B ( for company not having share capital)
