Sec 141

answered on 30-Jun-21 08:07

What corrective action can be taken by the auditor?

latest answer

Dispose off those Securities

Aman Mahajan

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230

Big 4

answered on 30-Jun-21 13:37

EY operates as a network of member firms which are structured as separate legal entities in a partnership, which has close to 300,000 employees in over 700 offices in more than 150 countries around the world.[5] The firm's current partnership was formed in 1989 by a merger of two accounting firms; Ernst & Whinney and Arthur Young & Co. Why are Big 4s organised as firms and not companies inspite of their large size?

latest answer

Companies act 2013 section 141(3) restricts a body corporate ( company ) other than LLP from appointment as an auditor. So these act as Network of Firms instead of Companies.

Aman Mahajan

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281

Auditor

answered on 29-Jun-21 18:09

An individual is eligible to be an auditor if he is a CA , as per section 141(1). Where is the condition relating to certificate of practice mentioned?

latest answer

The word "chartered Accountant" is defined in section 2(17) which says that chartered accountant is the one who holds valid certificate of practice under the chartered accountants Act. In section 141 and throughout the Companies Act wherever the word chartered accountant is used we will understand it as practicing chartered accountant.

Aman Mahajan

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267

Auditor

answered on 03-Jul-21 18:05

Why canâ??t a company be an auditor of another company?

latest answer

issues of reputation, limited liability, individual responsibility - same reason lawyers are not allowed to form companies for representing cases

Aman Mahajan

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305

Declaration and payment of dividend

answered on 29-Jun-21 18:54

Sir in this question Even though he was not invested why we are taking 100 Rs. As investment

latest answer

Dividend is on face value of shares and not on paid up value

M V Naresh

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255

Declaration and payment of dividend

answered on 29-Jun-21 17:54

Sir in this question Even though he was not invested why we are taking 100 Rs. As investment

latest answer

Unless there is a provision in the article of association to pay the dividend in proportion to paid up capital, generally the dividend is paid on the full nominal value of the share. ( Section 51) Accordingly here 10% dividend is calculated on the full nominal value for 5000 shares even though the paid up value is less. Reason being there is nothing stated about it in the article of association.

M V Naresh

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240

Mcq

answered on 29-Jun-21 19:07

Explanation needed

latest answer

Proxies are not considered for quorum, but authorised representative is. So we have 13 members + Mr. A + Mr. A as authorised rep of ABC Ltd. = 15 i.e. quorum is present

Sathiya Bama

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6

288

Amendments

answered on 29-Jun-21 12:54

Is amendment effective from 21st December 2020 applicable for July exams or not?

latest answer

As per ICAI, For May 2021 examinations, amendments up to 31st October, 2020 are applicable.

manideep martha

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290

CSR

answered on 29-Jun-21 11:44

In case company incurred any expenses towards CSR activities which is more than the limit prescribed,can such extra voluntary expenditure carry forward to next year ?

latest answer

Yes, but we should wait for ICAI to highlight such amendments.

Surya Prakash

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270

Investor Education protection Fund

answered on 29-Jun-21 07:54

is Investor Education protection Fund is separate fund that should create and run by company individually or CG may create One fund account for all companies?

latest answer

Its a single fund

Surya Prakash

CA Final

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275