Qualification of Auditors & Procedure for First Appointment of Auditors

Question 4 (a) June 2012 (LAW485) Sinar Suria Sdn Bhd was recently incorporated. The comp both wishes to appoint an listener. The climb up of directors seek your advice on what qualifications attenders need and the procedure for their appointment. apprise them. (8 marks) In smart set to protect the interest of shareholder of the company, Companies Act ply a compulsory appointment of an listener in order to check the activity of the company and to communicate the activities or affairs to shareholders. Auditor is an independent person/persons that allow for give true and fair view of the companys activities. To be a companys hearer, the person or the firm must(prenominal)(prenominal)iness be an sancti angiotensin-converting enzymed company auditor. Under Section 8(1), any person may apply to the minister to be okay as a company auditor. Section 8 (2) states that the authorities minister may approve the applicants applications programme if he has a go od character and suitable to make duties of auditor This scratch requires a company to appoint an approve company auditor. clear company auditor is single that has been clear by government minister of Finance to act as auditor. He has the necessary qualification, which has a good character and competent to perform the duties of an auditor to a lower place Companies Act. The auditor must be registered as a earthly extend to accountant with MIA.

Under Section 14(3) of Accountant Act, MIA will take care applicant if the person is at least 21 long time old. Moreover, applicant must have passed the final examination in accounting. Lastly, applicant must be a member of o ne of the specified professional bodies unde! r Section 14(1)(a) of Accountant Act. bunk to Section 9(6) of Companies Act, an auditor or audit firm must give writing assent to a company in the lead the company can propose him or them as auditor of the company. According to this section, Sinar Suria Sdn Bhd must obtain a writing agree from their candidates before appointing them as auditor of the company. Section 172(1) of Companies Act...If you want to placate oneself a full essay, order it on our website: OrderEssay.net

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