3. statutory requirements for financial reporting
TRANSCRIPT
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Statutory/Local Requirements of Corporate Financial Reporting
A. Companies Act 1994: Relevant Sections are 1!1" 1!#" 1!4"
1!$" 1!%" 1!&" 1!9" 19' an( Sc)e(ule *+.
Section 1!1: ,oo-s to e -ept y company an( penalty for not
-eeping t)em:
(1) Every company shall keep proper oo-s of account 0it) respect to-
(a) all sums of money receive( an( epen(e( by the company
and the matters in respect of which the receipt and expenditure
take place;(b) all sales an( purc)ases of goods by the company;
(c) the assets an( liailities of the company; and
(d) in the case of a company engaged in production, distribution,
marketing, transportation, processing, manufacturing, milling
extraction and mining activities, such particulars relating to
utili2ation of material" laour an( ot)er items of over)ea( cost
(!) "or the purpose of sub-section (1), proper books of account shall not be deemed to be kept with respect to the matters specified therein if
there are not kept such books as are necessary to give a true an(
fair vie0 of the state of the affairs of the company and to explain its
transactions
(#) $he books of account s)all e -ept at t)e registere( office of the
company and shall at all times be open to inspection by directors during
business hours%
&rovided that all or any of the books of account may, for a perio( not
ecee(ing si mont)s, be kept at such other place in 'angladesh as the
board of irectors may decide and when the board of irectors so
decides, the company s)all 0it)in seven (ays of t)e (ecision" file 0it)
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t)e Registrar a notice in 0riting giving t)e full a((ress of t)at ot)er
place.
() where a company )as a ranc) office, whether in or outside
'angladesh, the company shall be deemed to have complied with the provisions of sub-section (1), if proper books of account relating to the
transactions effected at the branch office are -ept at t)at office and
proper summari2e( returns" ma(e upto (ate at intervals of not more
t)an t)ree mont)s, are sent by the branch office to t)e company at its
registere( office or the other place referred to in sub-section (#)
(*) $he books of account of every company relating to a period of not
less t)an t0elve years imme(iately prece(ing t)e current yeartogether with vouchers relevant to any entry in such books of account
s)all e preserve( in good order;
&rovided that in the case of a company incorporated less than twelve
years before the current year, the books of account for the entire period
preceding the current year together with the vouchers relevant to any
entry in such books of account shall be so preserved
(+) f any of the persons referred to in sub-section () fails to take all
reasonable steps to secure compliance by the company with the
re.uirements of this section, or has, by his own wilful act, been the
cause of any default by the company thereunder, he shall, in respect of
each offence, be punishable with imprisonment for a term which may
extend to si mont)s or with which may extend to five t)ousan( ta-a
or 0it) ot)
() $he persons referred to in sub-section (+) are the following,namely%-
(a) where the company has a managing agent, managing (irector
eecutive (irector, general manager or manager, such managing
agent, managing director, executive director, general manager or
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manager and all officers ut eclu(ing t)e an-ers" au(itors an(
legal a(visers3
(b) where such managing agent is a firm, every partner in the firm;
(c) where such managing agent is a body corporate, every director
of such body corporate;(d) where the company has neither a managing agent nor managing
director nor executive director nor general manager nor manager,
every (irector of t)e company
Section1!#: Annual alance s)eet:
(1) $he 'oard of irectors of every company shall, at every annualgeneral meeting, lay before the company a alance s)eet toget)er
0it) t)e profit an( loss account or in the case of a company not
trading for profit an income an( epen(iture account for the period
specified in sub- section (!) of this section
(!) $he said profit and loss account or the income and expenditure
account s)all e prepare( for t)e flo0ing perio(, namely%-
(a) in the case of the first annual general meeting for the period beginning with the date of incorporation of the company and
ending on a date 0)ic) is 0it)in nine mont)s prece(ing t)e (ate
of t)e meeting; and
(b) in the case of any susequent annual general meeting, for the
period beginning with the date immediately after last account and
ending on a date which is-
(i) a date within nine mont)s prece(ing suc) meeting; or
(ii) in the case of a company carrying on business or having
interest outside 'angladesh, a date 0it)in t0elve mont)s
preceding the date of such meeting; or
(iii) in a case where and extension of time has been granted for
holding the meeting under section /1, a date within the said nine or
twelve months, as the case may be, preceding the date of holding
such meeting under that section
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&rovided that date the 0egistrar may, on an application being made to
less before the expiry of the said nine or twelve months, eten( t)e
perio( y a perio( not ecee(ing t)ree mont)s
(#) $he balance sheet and the profit and loss account or income and
expenditure account shall be caused to e au(ite( y t)e au(itor of t)e
company as in this ct provided and the auditor2s report shall be
attached thereto or there shall be inserted at the foot thereof a reference
to the report and the report s)all e rea( efore t)e company in
general meeting.
() $he period to which the account aforesaid relates is referred to in thisct as a 3financial year4 and it may e less or more t)an a calen(ar
year, but shall not exceed fifteen mont)s
&rovided that it may extend to eig)teen mont)s where special
permission had been granted in that behalf by the 0egistrar
(*) f any person, being a director of a company, defaults in taking all
reasonable to comply with the provision of this section, then he shall, inrespect of each such offence, be punishable with fine 0it) may eten(
to five t)ousan( ta-a.
(+) $here shall be -ept at t)e registere( office of the company a copy
of t)e alance s)eet inclu(ing profit an( loss account or income an(
epen(iture, as the case may be, and the director2s report for inspection
of t)e memers and other categories of persons as are entitled thereto
for a period of at least fourteen (ays efore t)e general meeting of
t)e company
1!4. ,oar(s report:-
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(1) $here s)all be attac)e( to every balance sheet laid before a
company in general meeting a report y its ,oar( of irectors, with
respect to-
(a) t)e state of t)e company5s affairs;
(b) the amount, if any, which the 'oard proposes to carry to anyreserve in such balance sheet;
(c) the amount, if any, which the 'oard recommends should be
pai( y 0ay of (ivi(en(;
(d) material c)anges an( commitments, if any, affecting the
financial position of the company which have occurred between
the end of the financial year of the company to which the balance
sheet related and the date of the report
(!) $he 'oard2s report s)all, so far as is material for the appreciation of
the state of company2s affairs by its members, deal with any changes
which have occurred during the financial years %-
(a) in the nature of the company2s business;
(b) in the company2s susi(iaries or in the nature of the business
carried on by them; and
(c) generally in the classes of usiness in which the company has
an interest(#) $he 'oard shall also be oun( to give t)e fullest information and
explanations in its report aforesaid on every reservation, .ualification
or adverse remark containe( in t)e au(itor5s report.
() $he ,oar( report an( any a((en(um thereto s)all e signe( y
its C)airman if he is authori5ed in that behalf by the 'oard, and where
)e is not so aut)ori2e( 6, shall be signed by such number of director as
are re.uired to sign the balance sheet and the profit and loss account or
the income and expenditure account, of the company by virtue of sub-
section (1) and (!) of section 1!9.
(*) f any person, being a director of a company, fails to take all
reasonable steps to comply with the provision of sub-section (1) to (#) or
being the chairman, signs the 'oards report otherwise than in conformity
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with the provisions of sub-section (), he shall, in respect of eac)
offence, be liable to fine which may eten( to five t)ousan( ta-a
1!$. Form an( contents of alance s)eet an( profit an( loss
accounts:
(1) $he balance sheet of a company s)all contain a summary of t)e
property an( assets and of the capital an( liailities of the company
giving a true an( fair vie0 of affairs as at the end of the financial year,
and it shall, sub7ect to the provisions of this section e in t)e forms set
out in 6art+ of Sc)e(ule *+ or as near thereto as circumstance admit or
in suc) ot)er form as may be approved by the 8overnment either
generally or in any particular case; and in preparing the balance sheet
due regard shall be had, as far as may be, to the general instructions forpreparation of alance s)eet un(er t)e )ea(ing 78otes7 at t)e en(
of t)e 6art:
&rovide that nothing contained in this sub-section shall apply to any
insurance or an-ing company or any company engaged in the
generation or supply of electricity
(!) Every profit an( loss account of a company shall gave a true andfair view of the profit and or loss of the company for the financial year
and shall, sub7ect as aforesaid, comply with the requirements of 6art ++
of Sc)e(ule *+ so far as applicable thereto%
&rovided that nothing contained in this sub-section shall apply to any
insurance or an-ing company or any company engaged in the
generation or supply of electricity
(#) $he 8overnment may, by notification the official 8a5ette, exampleany class of companies from the re.uirements of 9chedule : if, in its
opinion, it necessary to grant t)e eemption in the public interest; and
any such exemption may be granted either unconditionally or sub7ect of
such conditions as may be specified in the notification
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() $he 8overnment may, on the application or with the consent of the
'oard of irectors of the company, by order, mo(ify in relation to t)at
company of the re.uirement of this ct as to the matters to be stated in
the balance-sheet or profit and loss account for the purpose of adopting
them to the circumstances of the company;
(*) $he balance sheet and the profit and loss account of a company s)all
not e treate( as not disclosing a true and fair view of the state of
affairs of the company merely e reason of t)e fact t)at t)ey (o not
(isclose
(i) in the case of an insurance company, any matters which are not
re.uired to be disclosed by the nsurance ct, 1#/ (< of 1#/);
(ii) in the case of a banking company, any matters which are notre.uired to be disclosed by the 'anking =ompanies ct
(iii) in the case of a company engaged in the generation or supply
of electrify, any matters which are not re.uired to be disclosed by
the Electricity ct, 11> (: of 11>);
(iv) in the case of a company governed by any other law for the
time being in force, any matters which are not re.uire to be
disclosed by such law;
(v) in the case of any company, any matters which are not re.uiredto be disclosed by virtue of the provisions contained in 9chedule
: or by virtue of the notification issued under sub-section (#) or
an order issued under subsection ()
(+) "or the purposes of this section, except where the context otherwise
re.uires any reference to balances-sheet or to profit and loss account
s)all inclu(e any notes )ereon or (ocuments annee( t)ereto" giving
information require( y t)is Act an( allo0e( y t)is Act to e given
in t)e form of suc) note( or (ocuments.
() f any such person as is referred to in sub-section () of section 1/1,
fails to take all reasonable steps to secure compliance by the company,
as regards any accounts laid before the company in general meeting,
with this section and with the other re.uirements of this ct as to in the
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accounts, he shall, in respect of each offence, be punishable with
imprisonment for a term which may eten( to si mont)s or 0it) fine
0)ic) may eten( to five t)ousan( ta-a or 0it) ot):
&rovided that no person shall be sentenced to imprisonment for any suchoffence unless it was committe( 0illfully.
1!%. ,alance s)eet of )ol(ing company to inclu(e certain particulars
as to its susi(iaries:
(1) $here s)all e attac)e( to the balance sheet of a )ol(ing company
)aving a susi(iary or subsidiaries as the end of the financial year as at
which the holding company2s balance sheet is made out, the following(ocuments in respect of suc) susi(iary or each such subsidiary, as
the case may be-
a a copy of t)e alance s)eet of t)e susi(iary3
(b) a copy of the its profit and loss account;
(c) a copy of the report of its 'oard of irectors;
(d) a copy of the report of its auditors;
(e) a statement of the holding company2s interest in the subsidiary
as specified in sub-section (+);(f) the statement referred to in sub-section (/), if any; and
(g) the report referred to in sub-section (), if any
(!) $he balance sheet referred to in clause (a) of sub-section (1) shall be
made out in accordance with the re.uirement of this ct as at the end of
the financial year of the subsidiary net efore the day as at which the
)ol(ing company5s alance s)eet is ma(e out.
(#) $he profit and loss account and the reports of the 'oard of directorsand of the auditors referred to in clause (b), (c) and (d) of subsection (1)
shall be made out in accordance with the re.uirements of this ct for the
financial year of the subsidiary referred to in susection ;.
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() the financial year aforesaid of the subsidiary s)all not en( on a day
which the holding company2s financial year ends y more t)an si
mont)s
(*) ?here the financial year of subsidiary is shorter in duration than thatof its holding company, reference to the financial year of the subsidiary
in sub-sections (!), (#) and () shall be construed as reference to t0o or
more financial years of the subsidiary the duration of which, in the
aggregate is not less t)an t)e (uration of the holding company2s
financial year
(/) ?here the financial year or years of a subsidiary referred to in sub-
section (*)) do not coincide with the financial year of the holdingcompany, a statement containing information on the following maters
had also to be attached to the balance sheet of the holding company%-
(a) whether there had been any changes and, if so what change
took place in the holding company2s interest in the subsidiary
between the end of the financial year or of the last of the financial
years of the subsidiary and the end of the holding company2s
financial year;
(b) details of any material change, which have occurred betweenthe end of the financial year or of the last of the financial years of
the subsidiary and the end of the holding company2s financial year
in respect of(
i) the subsidiary2s fixed asset;
(ii) its investments;
(iii) the moneys borrowed by its for nay purpose other than
that of meeting cured liabilities
() f, for any reason, the 'oard of irectors of the holding company isunable to obtain information of any of the matters re.uires to be
specified by sub-section (), a report in writing to that effect shall be
attached to the balance sheet of the holding company
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(1>) $he document referred to in clause (e), (f) and (g) of sub- section
(1) shall be signed by the persons by whom the balance sheet of the
holding company is re.uired to be signed
(11) $he 8overnment may on the application or with the consent of the'oard of irectors of the =ompany, direct that in relation to any
subsidiary, the provisions of this section shall not apply, or shall apply
only to such extent as may be specified in the direction
(1!) f nay such person as is referred to in sub-section (> of section 1/1
fails to take all reasonable steps to comply with the provisions of this
section, he shall, in respect of each offence, be punishable with
imprisonment for a terms which may extend to six months, or with finewhich may extent to one thousand taka, or with both%
&rovided that in any proceedings against any person in respect of an
offence under this section, it shall be a defense to prove that a competent
and reliable person was charged with the duty of seeing that the
provisions of this section were complied with and that he was in a
position to discharge that duty%
&rovided further that no person shall be sentenced to imprisonment for
any such offence unless it was committed willfully
1!9. Aut)entication of alance s)eet" profit an( loss account" etc:
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accounts, reports or statements which, by virtue of section 1/+ are
re.uired to be attached to the balance sheet, the auditors, report, and the
'oard2s report referred to in section 1/* or if any default is made in
complying with other re.uirement of this section, the company and
every office of the company who is in default, shall be punishable withimprisonment for a term which may extend to si mont)s of with fine
which may extend to t0o t)ousan( ta-a or 0it) ot).
19'. Copy of alances)eet" etc. to e file( 0it) Registrar:
(1) fter the balance sheet and profit and loss account or the income and
expenditure account, as the case may be, have been laid before a
company at an annual general meeting as aforesaid, there s)all e file(0it) t)e Registrar" 0it)in t)irty (ays from t)e (ate on 0)ic) t)e
alance s)eet an( t)e profit an( loss accounts 0ere so lai(
or where the annual general meeting of a company for any year has not
been held, there shall be filed with the 0egistrar within thirty days from
the last day on which that meeting s)oul( )ave een )el( in accordance
with the provisions of this ct t)ree copies of the balance-sheet, and of
the profit and loss account or the income and expenditure account, as thecase may by signed by the managing director, managing agent, a manger
or secretary of the company or if there be none of these, by a director of
the company, together with three copies of all documents which are
re.uired by this ct to be annexed or attached to such balance-sheet or
profit and loss account or income and expenditure account%
&rovided that in the case of a private company, which is not an
subsidiary of a public company, no person other than a member of the
company shall be entitled to inspect or to obtain copies of the profit andloss account of that company
(!) f the annual general meeting of a company before which a balance
sheet is laid as aforesaid (oes not a(opt the balance sheet or, if the
annual general meeting of a company for any year has not been held, a
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statement of that fact and of the reasons therefore s)all e annee( to
the balance-sheet and to the copies t)ereof require( to e file 0it) t)e
Registrar.
(#) f a company makes default in complying with the re.uirements of this section, it shall be liable to a fine not ecee(ing one )un(re( ta-a
for every (ay (uring 0)ic) t)e (efault continues , and every office of
the company who knowingly and willfully authori5es or permits the
default shall be liable to the like penalty
Securities an( <c)ange Rules 19!&:Relevant Rules are 1;" 1# an( 14 an( Sc)e(ule
1! Sumission of annual report y issuers- @(1) $he annual report
shall include a alance s)eet, profit an( loss account an( cas) flo0s
statement" an( notes to t)e accounts" collectively herein after referred
to as the financial statements
(!) $he financial statements of an issuer of a listed security shall be
prepared in accor(ance 0it) t)e requirements laid down in the
Sc)e(ule and the +nternational Accounting Stan(ar(s as adopted by
the nstitute of =hartered ccountants of 'angladesh
Explanation-n this sub-rule, nternational ccounting 9tandard refers to
the accounting standards issued by the nternational ccounting
9tandards =ommitteeA
@(#) $he financial statements of an issuer of a liste( security shall be
au(ite( by a partners)ip firm of chartered accountants within the
meaning of 'angladesh =hartered ccountants Brder,1# (& B ! of
1#) consisting of not less t)an t0o partners in practice for a
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minimum of seven years none of whom were associate( in any way
with the issuer during the auditing period (which includes holding of
securities by themselves or through spouse or any other relatives and
their employees), in accordance with the +nternational Stan(ar(s on
Au(iting applicable in 'angladesh and the report of the uditors shall be in Form =,> annexed to the 9chedule
&rovided that, notwithstanding anything contained in this sub-rule, such
financial statements may also be audited by an auditor appointed by the
Commission, whenever such audit is deemed by the =ommission
necessary in the pulic interest and the auditor so appointed shall
furnish his report to the =ommission in such form and within such time
as the =ommission may specify%
&rovided further that the fee for such audit and all other expenses in
relation thereto shall be borne by the issuer concerne(
(#)$he financial statements referred to in sub-rule (1) shall be audited
0it)in one )un(re( an( t0enty (ays from the date on which the
issuerCs financial year ends and a copy of such audited financial
statements shall be submitted to the =ommission and the 9tock Exchange within fourteen (ays thereof%
&rovided that on the application filed by the issuer within the aforesaid
specified time the =ommission may on good cause shown and only
under extreme circumstances eten( the time for auditing the financial
statements or submission of the financial statements to the =ommission,
as the case may be, as it (eems fit%
&rovided further that if an issuer fails to get its financial statement,audited in the manner as specified in subrule (#) and fails to submit the
same to the =ommission and the stock exchange within the said
specified time, or extended time, as the case may be, the =ommission
may appoint an au(itor to audit the accounts of the issuer at the
issuerCs costA
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@(#') ?here the =ommission on examination of the audited financial
statements of an issuer of a listed security fin(s that the audit has not
been conducted, or the audit report has not been prepared, in
accor(ance 0it) t)e provisions of t)ese rules" or where, in the opinion
of the =ommission, the audited financial statements do not reflect thetrue state of affairs of the issuer and the financial statements are deficient
in form or contents for which the concerned partnership firm of
chartered accountants or its partners are ?ointly an( severally liale, it
may, by order in writing giving reasons therefore, declare the firm of
chartered accountants which, or the auditor who, conducted the audit,
ineligile for acting as an au(itor of any issuer of a liste( security for
a perio( not ecee(ing five years: &rovided that before making any
such order, the =ommission s)all refer the matter to the nstitute of =hartered ccountants of 'angladesh constituted under the 'angladesh
=hartered ccountants Brder, 1# (&B Do ! of 1#), with a re.uest
to take appropriate disciplinary action against the firm of chartered
accountants and the partners concerned within a period of sity (ays
from the date of such reference and the =ommission may make the said
order after the expiry of the said period, if no action is ta-en by the
nstitute or if, in its opinion, action taken by the nstitute is not
satisfactory%
&rovided further that no such order shall be made without giving the
firm of chartered accountants or auditor concerned a reasonable
opportunity of being heardA
() Every issuer (listed company) s)all furnis) the annual report,
together with the balance sheet and the profit and loss account referred
to in sub-rule (1) to the s)are)ol(ers at least fourteen (ays before the
general meeting of the shareholders of the issuer at which the report is to be laid before them and shall simultaneously furnish a copy of such
report to the stoc- ec)ange or exchanges on which its securities are
listed and to t)e @Commission
(+) n issuer shall, within t)ree mont)s of the general meeting referred
to in sub-rule (), submit to the =ommission a list of t)e memers of
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t)e issuer stating the facts as they stood on the date of that general
meeting (Generally use record date).
() $he list re.uired to be submitted under sub-rule (+) shall be the list
re.uired by section #+ of the =ompanies ct, 1 (:< of 1)A, to be submitted to the 0egistrar of oint 9tock =ompanies (36: Annual list
of members and summary)
(/) An annual report referred to in sub-rule (1) shall, in addition to the
matters re.uired to be included therein by the Brdinance, these rules or
any other law for the time being in force, inclu(e suc) ot)er
statements" reports" (ocuments" information or eplanations relating
to its affairs as the =ommission may, by order in writing, re.uire fromtime to time
Rule1#% Sumission of perio(ical report y issuer-
Every issuer shall, within one mont) of close of the first )alfyear,
transmit to t)e stoc- ec)ange in which its securities are listed, to the
security holders and to the Commission half yearly financial statements
which shall be prepared in the same manner an( form as the annualfinancial statementsA
Rule1#A. "orms prescribed for the purpose of preparing the financial
statements and the audit report may e a(apte( or amen(e(, if deemed
necessary, for compliance with the nternational ccounting 9tandards
(9) and nternational 9tandards of uditing (9)A (Fair Presentation
clause).
Rule14. Bo(e of filing or sumission of returns/reports" etc F ny person re.uired by the Brdinance or any of these rules to furnish any
document, statement, return or report to the =ommission, 9tock
exchanges and other agencies shall furnish it, either in person or through
an agent, or send it by registered post
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SC<DL<
@See rule 1;;
1. Requirements as to ,alance S)eet:
$he assets and liabilities shall be classifie( un(er t)e )ea(ingsappropriate to the companyCs business, (istinguis)ing as regards assets
between fie( assets, longterm prepayments and (eferre( costs"
investments" loans an( a(vances an( current assets, and as regards
liabilities between s)are capital an( reserves" longterm loans an(
(eferre( liailities an( current liailities an( provisions.
! Fie( assets% - () "ixed assets shall be distinguished between
tangile an( intangile and shall be classified un(er appropriate su)ea(s, duly itemi5ed, such as %
i Eangile:
(a) land (distinguish between free-hold and leasehold);
(b) building (distinguishing between buildings on freehold land
and those on leasehold land);
(c) plant and machinery;
(d) furniture and fittings;
(e) vehicles;(f) capital work in progress including interest pai( out of capital,
if any; and
(g) others
(ii) +ntangile:
(a) goodwill;
(b) patents, copyright, trade marks and design; and
(c) others
(') Gnder each sub-head, ot)er t)an capital 0or- in progress, the
original cost, and the a((itions thereto and (e(uctions there from since
the date of the previous balance sheet shall be stated and the aggregate
amount 0ritten off , or provided or retained, up to the date of the balance
sheet, by way of provision for (epreciation or amorti5ation or
diminution in value shall be shown as deduction there from
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(=) ?here sums have been written off on a reduction of capital or
revaluation of assets and where sums have been added by writing up the
assets, every alance s)eet susequent to t)e re(uction or
revaluation or 0riting up shall s)o0 t)e original cost" t)e re(uce( or
increase( figures" as the case may be, along with the (ate of andamount of the reduction or increase made
() n the case of a company which immediately before the
commencement of these 0ules, was providing for depreciation or
amorti5ation or diminution in value by way of lump sum charge to profit
or loss account or as appropriation of profit, without allocating the
amount so provided to different sub-heads, the amount retained in the
books of the company at the commencement of the said 0ules as provision or reserve for depreciation or amorti5ation or diminution in
value shall be allocated against the respective sub-heads
n every case where the original cost can not be ascertained without
unreasonable expense or delay, the valuation s)o0n y t)e oo-s s)all
e given. 9uch valuation shall be the net amount at which an asset stood
in the books of the company as at the commencement of these rules after
deduction of the amounts previously provided or written off for depreciation or amorti5ation or diminution in value
# Longterm prepayments an( (eferre( costs- Hong term
prepayments and deferred costs shall include prepayments for services
or benefits to be received after t0elve mont)s from t)e (ate of t)e
alance s)eet ny material items shall be stated separately together
with the basis on which each item is being amorti5ed or written off, and
in respect of each item of deferred costs the reasons for carrying forward
such costs shall be stated
+nvestments" loans an( a(vances.-
() $here shall be shown under separate su)ea(s the aggregate
amounts respectively of the companyCs (i) investments in an( loans an(
a(vances to susi(iary companies controlled firms and other associated
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undertakings, (ii) investments in liste( companies other than
investments in subsidiary companies and other associated undertakings,
(iii) investments in unliste( companies other than investments in
subsidiary companies, and other associated undertakings, (iv)
investments in (eentures an( on(s issued by a 8overnment,Iunicipal =ommittee or other local authority, (v) investments in
immovale properties and (vi) other investments, loans and advances
(') $here shall be stated under sub-head () (i) the names of the
subsidiary companies, controlled firms and other associated undertaking
and the nature an( etent of t)e investment ma(e an( loans an(
a(vances given in eac) case" s)o0ing separately" in the case of each
subsidiary company and other associated undertaking, shares of differentclasses and of different paid-up values, debentures, loans and advances
and, in the case of each controlled firm, the amount invested as capital
and the amounts of loans and advances n the case of loans and
advances, t)e nature of collateral security s)all e state( company
whose principal business is lending of money may give such information
in consolidated form in the balance sheet and the details about the names
and the extent of investments etc in an annexure to the balance sheet
(=) $here shall be stated under sub-head () (ii) the names of the
o(ies corporate in every case 0it) t)e name of t)e managing
agent" if any in whose shares or debentures or bonds, investments have
been made and the nature and etent of t)e investment made in each
case, showing separately, shares of (ifferent classes and of different
pai(up values, nature of the (eentures" eg whether straight,
convertible or redeemable and the rate of interest etc company whose
principal business is lending of money may give such information in
consolidated form in the balance sheet and the details about the namesand the extent of investments etc in an annexure to the balance sheet
() $here shall be stated under sub-head () (iii) the names of the
unliste( companies (in every case with the name of the managing
agent, if any) in whose shares or debentures or bonds, investments have
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been made and the nature and extent of the investment made in each
case, showing separately, shares of different classes and of different
paid-up values, nature of debentures, eg whether straight, convertible
or redeemable and the rate of interest etc company whose principle
business is leading of money may give such information in consolidatedform in the balance sheet and the details about the names and the extent
of investments etc in an annexure to the balance sheet
(E) $here shall be stated under sub-head () (iv) the names of the
8overnments Iunicipal =ommittees and other local authorities in
whose debentures or bonds investments have been made and the nature
and extent of the investment made in each case
(") $he mo(e of valuation of investments, eg cost or mar-et value,
shall be stated separately and, if investments in listed companies are
valued ot)er0ise t)an at mar-et value, t)e aggregate amount of t)e
mar-et value t)ereof s)all e s)o0n.
(8) Hoans and advances due for payment after a perio( of t0elve
mont)s from t)e (ate of t)e alance s)eet shall be shown under this
head
(J) $he following particulars shall be stated separately y 0ay of a
note of respect of sub-head () (vi)% (a) aggregate amount due by
directors (including the managing director), managing agents, managers
and other officers of the company and any of them severally or 7ointly
with any other person; and (b) aggregate amount due by associated
undertakings () &rovisions, if any, made for diminution in the value of
investments and in respect of losses of subsidiary companies shall be
shown as deduction from the gross amounts of the respective sub-heads
* Current assets %- () Current assets s)all e classifie( un(er su
)ea(s appropriate to t)e companys affairs" inclu(ing" 0)ere
applicale" t)e follo0ing :
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(i) stores, spare parts and loose tools, distinguishing each from the other;
(ii) stock-in-trade, distinguishing, where practicable, between (a) stock
of raw materials and components, (b) work in progress, (c) stock of
finished products and (d) other stock; (iii) sundry debtors, which shall
include amounts due in respect of goods sold or services rendered or inrespect of other contractual obligations but shall not include the amounts
which are in the nature of loans or advances ets consi(ere( goo(
an( (ets consi(ere( (outful or a( s)all e separately state(
ebts considered good shall be distinguished between those which are
secure( and those for which the company holds no security other than
the debtorCs personal security ;
(iv) loans and advances due for repayment 0it)in a perio( of t0elvemonths from the date of the balance sheet, showing separately the
amounts (ue from susi(iaries, controlled firms and other associated
undertakings and also the amounts lent out to employees of the
company Hoans an( a(vances consi(ere( goo( an( loans an(
a(vances consi(ere( (outful or a( s)all e separately state(3
(v) trade deposits and short term prepayments for which services or
benefits are to be received within twelve months from the date of the
balance sheet and current account balances with statutory authorities(vi) bills receivable;
(vii) interest accrued or interest outstanding ;
(viii) alances on current account 0it) t)e managing agents"
managers an( (irectors t)e maimum amount )el( y any of t)em
at any time since t)e (ate of incorporation or since t)e (ate of t)e
previous alance s)eet" 0)ic)ever is t)e later" eing state( y 0ay of
a note 3
(ix) tax refunds due from 8overnment, showing separately excise duties,
customs duties, sales tax, income-tax etc and(x) cash and bank balances, distinguishing between (a) amount in hand,
(b) amount in transit and (c) balances with banks and agents
(') n the case of sub-heads *() (i) and (ii) the respective basis of
valuation shall be stated f the basis such as KcostL, KIarket valueL or
Kcost or market value, whichever is lowerL is given, there shall also be
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given, to the extent practicable a general indication of the method of
determining the KcostL or Kmarket valueL eg Kaverage costL, Kfirst-in,
first outL, or Klast-in, first outL
(=) in respect of each of the sub-heads *() (iii) and (iv) the following particulars shall be stated separately %
(a) aggregate amount due by directors (including managing director),
managing agents, managers and
other officers of the company and any of them severally or 7ointly with
any other person;
(b) aggregate amount due by associated undertakings;
(c) maximum amount of debts, under each of the preceding items (a) and
(b) at any time since thedate of incorporation of since the date of the previous balance sheet,
whichever is the later (by
way of a note)
+ ssets in respect of which different methods or bases of valuation or
of provision for depreciation or diminution in value are used shall be
regarded as assets of different classes
&reliminary expenses, discount allowed on the issue of shares and
expenses incurred on the issue of shares or debentures, including any
sums paid by way of commission or brokerage on the issue of shares or
debentures, to the extent not written off or ad7usted, s)all e treate( as
assets an( s)o0n separately un(er eac) )ea(.
/ S)are capital an( reserves %- () 9hare capital and reserves shall be
classified under the following sub-heads %
(i) pai( up capital, distinguishing between different classes of preference and e.uity shares and the amount paid up in respect of each
class n the case of forfeited shares, the amount already paid thereon
shall be added to the paid-up capital =alls paid in advance shall also be
added to the paid-up capital; and
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(ii) reserves" distinguishing between capital reserves and revenue
reserves Capital reserves shall include capital redemption reserve,
share premium account, surplus on revaluation of fixed assets, profit
prior to incorporation or on reissue of forfeited shares or any reserve not
available for distribution by way of dividend (to be specified), whilerevenue reserves shall include general reserve, dividend e.alisation
reserve, other reserves created out of profit (to be specified), and
unappropriate profit ie credit balance of profit and loss account after
appropriations for the period to the date of balance sheet dditions to
and deductions from each item of reserves shall be shown in the balance
sheet under the respective items unless they are disclosed in the profit
and loss account or a statement or a report annexed thereto
(') E)ere s)all e s)o0n in t)e alance s)eet :
(i) authori5ed share capital distinguishing between various classes of
shares and stating the number and value of each class ;
(ii) issued share capital, distinguishing between various classes of shares
and stating the number and value in respect of each class ;
(iii) subscribed share capital, distinguishing between various classes of
shares and stating the number and value in respect of each class ;
(iv) called up share capital, distinguishing between various classes of share and stating the number, value and the amount called up in respect
of each calls;
(v) calls unpaid as a deduction from called up share capital,
distinguishing calls unpai( by (a) directors (including managing
director), (b) managing agents, (c) managers, (d) officers and (e) others;
(vi) paid up share capital, distinguishing in respect of each class between
(a) shares allotted for consideration paid in cash, (b) shares allotted for
consideration other than cash and (c) bonus shares and stating the
number and value of each class;(vii) particulars of any option on unissued shares, such as amount of
option, class of shares, issue price, period during which option is
exercisable etc;
(viii) in the case of redeemable preference shares, the terms of
redemption or conversion, if any, together with the earliest date on
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which the company has power to redeem or the company or the holder
of the shares has power to convert the shares; and
(ix) in the case of susi(iary companies, the number of shares class
held by the holding company as well as by the ultimate company, if any,
and its subsidiaries(=) ?here circumstances permit, authori5ed, issued, subscribed, and
paid up, capital or any two or more of them may be shown as one item
() $he word fund, in relation to any MreserveC shall be used only where
such a reserve is represented by specifically earmarked nvestment or
other assets realisable as and when re.uired at not less than the amount
of fund
Long term loans an( (eferre( liailities- () Hong-term loans anddeferred liabilities shall mean loans and liabilities which become due for
payment after t0elve mont)s from t)e (ate of t)e alance s)eet.
eferred liabilities shall include such other liabilities as are under
normal accounting principles appropriately so classified (') Hong-term
loans shall be classified as secured and
unsecured, under each class shall be shown separately%
(i) debentures ;
(ii) loans from banking companies and other financial institutions;(iii) loans for subsidiary companies, controlled firms and other
undertaking;
(iv) loans from directors (including managing director), managing agents
and managers; and
(v) other loans
(=) ?here any of the long-term loans or any other deferred liabilities are
secure( ot)er0ise than by the operation of law on any assets of the
company the fact that the liabilities are so secured shall be stated,
together with statement of the assets upon which they are secured, and,where more than one class of liabilities is so secured, their relative
priorities with respect to payment of interest and redemption
() $he rate of interest and terms of redemption or conversion, if any, of
the debentures issued shall be stated together with the earliest date on
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which they may be redeemed or converted into shares and it shall also be
stated if any, sinking fund arrangement exists
(E) $here shall be stated, by way of a note or otherwise, particulars of
any redeemed debentures which the company has power to reissue
(") ?here any of the companyCs debentures are held by a nominee of, or a trustee for, the company, the amount thereof, calculated on the same
basis as the total amount standing in the balance sheet in respect of the
debentures of that class , shall, unless and until the debentures so held
are reissued or canceled be shown as deduction from the total by way of
a note
(8) eferre( liailities shall include items such as (i) deferred liability
for taxation, (ii) consumerCs deposits with utility companies and (iii)
amounts allocated or set aside and retained for ?orkersC &articipation"und, provident fund, pension, gratuity insurance and other staff benefit
schemes Every material item shall be stated separately
1> Current liailities.- () =urrent liabilities shall mean liabilities due
and payable (other than liabilities the payment of which may at the
companyCs option, be postponed) within twelve months from the date of
the balance sheet, together with such other liabilities as are under normal
accounting principles appropriately so classified(') =urrent liabilities and provisions shall, so far as they are appropriate
to the companyCs business be classified under the following sub-heads%
(1) 9hort-term loans, distinguishing between secured and unsecured and
between loans taken from -
(a) banking companies, and other financial institutions;
(b) subsidiary companies, controlled firms and other associated
undertakings;
(c) directors (including managing directors), managing agents and
managers;(d) installments of long-terms debt; and
(e) others;
(!) deposits;
(#) creditors;
() accrued expenses;
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(*) bills payable;
(+) advance payment and unexpired discounts for the portion for which
value is still to be given, eg, in the case of newspapers, clubs and
steamship companies;
() interest accrued on secured loans ;(/) interest accrued on unsecured loans;
() other liabilities, if any (to be specified), eg , unclaimed dividend,
unpaid dividend;
(1>) provision for taxation, showing separately excise duties, customs
duties, sales tax, income tax, etc;
(11) proposed dividend; and
(1!) other provisions, if any (to be specified)
(=) ?here any short-term loans or any other liabilities of the companyare secured otherwise than by the operation of law on any assets of the
=ompany, the fact that the liabilities are so secured shall be stated,
together with a statement of the assets upon which they are secured and
where more than one class of liabilities is so secured, their relative
priorities with respect to payment of interest and redemption
11 Do liability shall stand in the balance sheet at a value less than the
amount at which is its repayable (unless the .uantum of repayment is at
the option of the company) at the date of the balance sheet or, if it is notthen repayable, at the amount at which it will first become so repayable
thereafter, less where appropriate, a reasonable deduction for discount
until that date
1;. E)ere s)all e a((e( a footnote to t)e alance s)eet" s)o0ing
separately :
(1) claims against the company not acknowledged as debt;
(!) uncalled liability on partly shares;
(#) arrears of fixed cumulative dividends on preference shares together with the period for which the dividends are in arrears f there is more
than one class of preference shares, the gross amount of dividends in
arrears, on each such class, shall be stated separately;
() the aggregate amount of contracts for capital expenditure remaining
to be executed and not provided for;
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(*) other sums for which the company is contingently liable $he
aggregate amount of any guarantees given by the company on behalf of
the directors (including managing director), managing agents, managers
or other officers of the company or any of them severally or 7ointly with
any other person shall be stated separately, and where practicable, thegeneral nature and amount of each such contingent liability, if material,
shall also be specified; and
(+) ?here determinable, the capacity of the industrial until, actual
production and the reasons for shortfall, if any , except in a case where
the uthority upon an application agrees that such information need not
be disclosed in the public interest
1# ?here there has been any c)ange in t)e asis of accounting, eg,change in the mode of valuation of the stock-in-trade, change in the
method of changing depreciation, such changes, together with the effects
thereof, shall be stated by way of a note
1 E)ere s)all e state(" y 0ay of a note or ot)er0ise
(1) the basis on which foreign currencies have been converted into taka;
and
(!) the general nature of any credit facilities available to the companyunder any contact, other than trade credit available in the ordinary
course of business, and not availed of at the date of the balance sheet
1* f in the opinion of directors, any of the current assets and
investments, loans and advances do not have, on reali5ation in the
ordinary course of business, a value at least e.ual to the amounts at
which they are stated, the fact the directors are of that opinion shall be
stated by way of a note
1+ Except for the balance sheet for the year ending after the date of
commencement of these rules, every balance sheet shall also give the
corresponding amounts at the end of the immediately preceding
accounting year for all items shown in the balance sheet E)is
requirement s)all" in t)e case of companies preparing quarterly or
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)alfyearly accounts relate to t)e alance s)eet as on t)e last (ay of
t)e perio( 0)ic) en(e( on t)e correspon(ing (ate of t)e
imme(iately prece(ing year.
1 ?here any items shown in the balance sheet or included in amountsshown therein cannot be determined with substantial accuracy an
estimated amount described as such shall be included in respect of that
items toget)er 0it) t)e description of the item
1/ Do provision with respect to the information to be given in the
balance sheet shall be deemed to re.uire the amount of any items that is
of no material significance to be given separately
1 ny information re.uired to be given in respect of any of the items
in the balance sheet, if it cannot be included in the balance sheet itself,
be furnished in a separate schedule or schedules to be attached to, and to
form part of, the balance sheet
6ARE ++
R<GD+R<B<8E AS EH 6RHF+E A8 LHSS ACCHD8E
1 $he profit and loss account shall be so made out as to disclose clearly
the result of the working of the company during the period covered by
the account and shall show, arranged under the most convenient heads,
the gross income and the gross expenditure of the company during the
period, disclosing every material feature and in particular thefollowing %-
() (1) the turnover, that is, the aggregate amount for which sales are
efected by the company, and the gross income derived from rendering
giving on supplying services or benefits, and showing as deduction
therefrom -
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(a) commission paid to sole selling agents;
(b) commission paid to other selling agents; and
(c) brokerage and discount on sales, other than the usual trade discount;
(!) income from investments, showing separately income from each
subsidiary company, from each controlled firms, from each associatedundertaking and from other investments;
(#) income by way of interest on loans and advances and other interest;
() income from sale of bonus vouchers;
(*) profit on sale of investments;
(+) profit on sale of items of fixed assets;
() profit in respect of transactions, of an exceptional or non-recurring
nature, not usually undertaken by the company or not envisaged in the
normal course of business; and(/) other income, showing separately every material item and the nature
of each such items;
(') (1) the value of stock-in-trade, including raw materials and
components, work in progress and finished products, as the
commencement and the value as the end of the period;
(!) purchase of raw materials and components and finished products;
(=) expenditure on -
(1) stores and spare parts consumed ;(!) fuel and power;
(#) salaries and wages (including bonus, contributions to provident and
other funds recognised under the ncome $ax Brdinance, 1/ and
expenses on staff welfare), distinguishing 1/ and expenses on staff
welfare, distinguishing between manufacturing salaries and wages, if
any, and other salaries and wages and also showing by way of a note the
amount included in salaries and wages in respect of
persons who are directors (including managing director) of the
company ; () rent municipal rates and local taxes (excluding taxes onincome and capital gains);
(*) insurance;
(+) repairs and maintenance (being repairs to and maintenance of the
companyCs fixed assets); and
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() patents, copyrights, trade marks, design, royalities and technical
assistance;
() the aggregate amount of auditors remuneration, whether fees ,
expenses or otherwise, for services rendered as auditors or in any other
capacity showing separately the remuneration for services rendered asauditors and the remuneration for services rendered in any other capacity
and stating the nature of such other services;
(E) other expenses, showing separately every items of an exceptional or
non-recurring nature and every material items ;
(") the amount provided for depreciation, renewals or diminution in
value of fixed assets $he value of the assets by various groups, the
additions or depletionCs thereto, the rate at which depreciation is
charged, the rate (s) at which depreciation, accelerated or for extra shifts,is charged shall be shown in the form of an annexure ?here such
provision is not made by means of a charge for depreciation, the method
adopted for making such provision shall be stated f no provision for
depreciation or for extra shift depreciation is made during the period, the
fact that no provision has been made and the reasons for not making it
shall be stated, and the amount which should have been provided and the
.uantum of arrears of depreciation, if any, shall be disclosed
(8) (1) the amount of interest on borrowings, showings separately the
amount of interest on the companyCs debentures, on other long term
loans and on short term loans, and showing by way of a note the amount
of interest on borrowings from the directors (including managing
director), the managing agents and the managers;
(!) loss on sale of investments;
(#) loss on sale of items of fixed assets;
() debts written off as irrecoverable;
(*) provision for doubtful or bad debts;(+) provision for diminution in value of investments;
() provision for losses of subsidiary companies, controlled firms and
associated undertakings; where loss is actually incurred the extent of
loss in the case of each subsidiary company, controlled firms and
associated undertaking shall be disclosed;
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(/) remuneration of managing agents;
() provision for taxation on income, capital gains and other tax or taxes,
showing separately the provision for liability in respect of the profit of
the period and the provision for liability deferred due to the difference
between the rates of depreciation allowed for purposes of taxation onincome and those adopted by the company for the charge to profit and
loss account and distinguishing, where applicable, between the provision
for 'angladesh taxation and the provision for taxation elsewhere ?here
the provision for taxation in respect of the profits of the period is
reduced by the writing back of a part or the whole of the provision for
deferred liability made in previous periods the amount written back shall
be shown as deduction from the gross charge for taxation; and
(1>) other provision for meeting specific liabilities, contingencies or
commitments
(J) (1) the amount set aside or proposed to be set aside as reserve
showing separately the respective amounts in respect of each item of
reserve ; and
(!) the amount of the dividend proposed
! $he profit and the loss arising from MhedgeC and MforwardC contracts,trading in MfuturesC and Mbadla (contango and backwardation)C and other
transactions of a similar nature
carried forward or completd by Mmeeting the differenceCand not resulting
in actual purchase or sale of stock-intrade, shall not be deducted from or
added to the cost of item
(') (!) in paragraph 1 of this &art, and shall be shown separately in the
profit and loss account
# $here shall be stated by way of a note the respective amounts included
in items (8) () and (*) of paragraph 1 of this &art for (a) debts due by
the directors (including managing director) managing agents, managers
and other officers of the company and any of them severally or 7ointly
with any other person (b) debts due by associated undertakings
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$he following shall be stated by way of a note F
(i) the aggregate amounts paid during the period to or in respect of, or
provided during the period for payment to or in respect of, the directors
(including managing director), managing agents and officers by thecompany and its subsidiary companies, controlled firms and other
associated undertaking as fees, remuneration, allowances, commission,
per.uisites or benefits or in any other form or manner and for any
services rendered, and shall give full particulars of such aggregate
amounts, separately for the directors (including managing director),
managing agents and
officers, under appropriate heads such as %
(a) fees;(b) managerial remuneration;
(c) remuneration or commission based on net profit or turnover;
(d) reimbursable expenses;
(e) pensions; gratuity ; companyCs contribution to provident,
superannuation and other staff funds
(showing by way of a note payments actually made out of such funds,
during the period being amounts in excess of membersC own
subscriptions and interest thereon); compensation for loss of office andin connection with retirement from office;
(f) buying commission, showing separately the amount provided for or
paid to an associated undertaking of the managing agent or to an
associated person of or partner in, or a director or officer of the
managing agent or of the company;
(g) selling agency commission, showing separately the amount provided
for or paid to an associated
undertaking of the managing agent or to an associated person of or
partner in, or a director or officer of the managing agent or of thecompany;
(h) other allowances and commission, including commission for
guarantee, specifying the nature of
the allowances and commission and the respective amounts;
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(i) other per.uisites and benefits in cash or in kind stating their nature
and where practicable, their
approximate money values;
(7) the amount of commission to the managing agents, to an associated
person of the managing agent or to an associated person of a partner or adirector or officer of the managing agent or of the company as selling or
buying agents of other concerns in respect of contracts entered into by
such concerns with the company;
(k) the aggregate amounts of the companyCs purchases from and sales of
goods, material and services to the managing agents, to an associated
undertaking of the managing agent or to an associated person of a
partner or a director or officer of managing agent or of the company;
(l) the calculation of the commissions payable by way of a percentage of net profit to the directors
(including managing director), the managing agents or managers and
showing the computation of net profits with relevant particulars ; and
(m) the amounts, if material, by which any items shown therein are
affected by any change in the basis of accounting;
(ii) in the case of a sale of an item of fixed assets otherwise than through
a regular auction showing particulars of the original cost accumulated
depreciation charged thereon the written down value, the sale prices, themode of disposal (eg by tender or negotiation) and the particulars of the
purchasers indicating whether such purchaser was a director or officer,
managing agent or a shareholder owning !> percent of the voting shares
of the company
* company need not show the amount set aside as provisions other
than those relating to depreciation, renewal or diminution in value of
assets if, on application made by it, has been allowed by the uthority to
do so on being satisfied that the disclosure of such information would be
pre7udicial to the interests of the company, but shall so frame or mark the heading covering the amount of such provision as to indicate that it
has been so allowed by the uthority
+ $he profit and loss account shall be so drawn up as to disclose
separately the manufacturing, trading and operation results n the case
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of a manufacturing concern the cost of goods manufactured shall also be
shown ?here an undertaking has more than one unit of operation or
line of business the working results of each such unit or line of business
should be separately given
() Except for the profit and loss account for the year ending after the
date of commencement of these 0ules every profit and loss account shall
give the corresponding amounts for the immediately preceding
accounting year for all items shown in the profit and loss account
(') $he re.uirement in sub-paragraph () shall, in the case of
companies preparing .uarterly or half yearly accounts relate to the profit
and loss account for the period which ended on the corresponding date of the immediately
preceding year
/ $he information re.uired to be given in respect of any of the items in
the profit and loss account shall, if it can not be included in the profit
and loss account itself, be furnished in a separate schedule or schedules
to be attached to and to form part of, the profit and loss account
n the case of a company not carrying on business for profit, the
provisions of this &art shall have effect as if for references therein to profit and loss account references to income and expenditure account
had been substituted
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&art-
R<GD+R<B<8ES AS EH CAS FLHIS SEAE<B<8E
1 $he cash flows statement shall be so made out as to disclose clearly
the cash flows of the company from its operating, investing and financialactivities, disclosing every material feature and in particular, the
following%
() (1) the ma7or classes of gross cash receipts and gross cash payments
from operating activities, using the direct method;
(!) interest paid on short term borrowing; and
(#) taxes on income paid andNor deducted at sources
(') (1) cash payments for ac.uisition of fixed assets, long-term paymentand referred costs, investments, loans and advances; (!) cash receipts
from sales of fixed assets, intangibles and other long-term assets; (#)
cash receipts from repayments of long-term loans and advance; ()
ac.uisitions and disposals of subsidiaries and other business units; and
(*) interest and dividend received (=) (1) cash proceeds from issuing
shares at par, premium and discount; (!) cash proceeds from issuing
debentures, loans and other short or long term borrowings; (#) cash
repayments of amounts borrowed;() nterest paid on long-term borrowings; and
(*) dividend paid
! nvesting and financing transactions that do not re.uire the use of cash
or cash e.uivalents should be excluded from the cash flows statements
9uch transactions should be disclosed elsewhere in the financial
statements in a way that provides all the relevant information about these
investing and financing activities
# $he amount of significant cash and cash e.uivalents held by the=ompany that are not available for its use should be disclosed
$he components of cash and cash e.uivalents at the balance sheet date
together with a reconciliation of opening and closing balances thereof
should be presentedLA
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* "orm MC annexed to the 9chedule shall be omitted
+ n "orm K'L annexed to the 9chedule, the existing "orm of the
uditor 0eport shall be substituted by the following new "orm of the
uditors 0eport%
Form of t)e Au(itors Report
?e have audited the accompanying financial statements for the period
fromto of in accordance with the
nternational 9tandards of uditing as adopted by the nstitute of
=hartered ccountants of 'angladesh; and we state that we have
obtained all the
information and explanations which we have re.uired, and after dueverification thereof, we report that, in our opinion% (a) $hese financial
statements have been drawn up in accordance with the re.uirements of
the 9chedule to the 9ecurities and Exchange 0ules, 1/; the =ompanies
ct, 1 and other relevant laws where applicable; and the
nternational ccounting 9tandards as adopted by the nstitute of
=hartered ccounts of 'angladesh; (b) $hese financial statements
which are in agreement with the 'ooks of ccount of the =ompany give
a true and fair view of the state of its affairs as at and of the result of its operations and cash flows for the periodNyear
then ended; (c) &roper 'ooks of ccounts have been kept by the
=ompany as re.uired by the relevant laws; and (d) $he expenditure
incurred was for the purposes of the =ompanyCs business
&lace%
ate%
"or
(Dame of the firm)
(9ignature with the name of &artnerN9ole &roprietor)
=hartered ccountsA
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