Tag: accounting

Understanding the Principles of ISQC 1

Business meeting

The objective of the firm is to establish and maintain a system of quality control to provide it with reasonable assurance that: The firm and its personnel comply with professional standards and applicable legal and regulatory requirements; and Reports issued by the firm or engagement partners are appropriate in the circumstances.

Finalising and Signing Off the Financial Statements

Man signing a document

Only one director is required by law to sign the balance sheet on behalf of the board but, in the case of companies with shares traded on a market, it is quite common to see the balance sheet signed by two directors, for example, the Chairman and the Finance Director. To some extent this is…

What is a Capital Budgeting?

Woman working on computer

Capital budgeting is the process of making investment decisions in long term assets. It is the process of deciding whether to invest in a particular project as all the investment possibilities may not be rewarding. Thus, the manager must choose a project that gives a rate of return more than the cost financing such a…

Completing the Financial Statements Engagement In Compliance With The Legislative Requirements

Two pairs of hands brainstorming over paper and laptops

In general, engagements to issue a report on financial statements should be performed in terms of relevant statutory requirements, common law requirements related to professional competence, due care and a code of conduct issued by a professional body. A report may only be issued once all the above requirements are met. The duties of accounting…

Client Liaison Best Practices

The best way to improve communication is to write a communication policy that outlines your plan to exchange information between clients, vendors and employees. For example, when handling potential clients who have expressed an interest in your services, you may want to create a new client communication policy that defines what steps should be taken…