Pursuant to the revision of Standard on Auditing (SA)
700 "Forming an Opinion and Reporting on Financial Statements", will
need to issue audit reports for year ended 31 March 2013 in the new
format. An illustrative format follows:
INDEPENDENT AUDITOR'S
REPORT
To the Members of ABC
Company Limited
Report on the
Financial Statements
We
have audited the accompanying financial statements of ABC Company Limited ("the
Company"), which comprise the Balance Sheet as at March 31, 2013, and the
Statement of Profit and Loss and Cash Flow Statement for the year then ended,
and a summary of
significant accounting policies and other explanatory
information.
Management's
Responsibility for the Financial Statements
Management
is responsible for the preparation of these financial statements that give a
true and fair view of the financial position, financial performance and cash
flows of the Company in accordance with the Accounting Standards referred to in
sub-section (3C) of section 211 of the Companies Act, 1956 "the Act"). This
responsibility includes the design, implementation and maintenance of internal
control relevant to the preparation and presentation of the financial statements
that give a true and fair view and are free from material misstatement,
whether due to fraud or error.
Auditor's
Responsibility
Our
responsibility is to express an opinion on these financial statements based on
our audit. We conducted our audit in accordance with the Standards on Auditing
issued by the Institute of Chartered Accountants of India. Those Standards
require that we comply with ethical requirements and plan and perform the audit
to obtain reasonable assurance about whether the financial statements are free
from material misstatement. An audit involves performing procedures to obtain
audit evidence about the amounts and disclosures in the financial statements.
The procedures selected depend on the auditor's judgment, including the
assessment of the risks of material misstatement of the financial statements,
whether due to fraud or error. In making those risk assessments, the auditor
considers internal control relevant to the Company's preparation and fair
presentation of the financial statements in order to design audit procedures
that are appropriate in the circumstances. An audit also includes evaluating
the appropriateness of accounting policies used and the reasonableness of the accounting
estimates made by management, as well as evaluating the overall presentation of
the financial statements. We believe that the audit evidence we have obtained
is sufficient and appropriate to provide a basis for our audit opinion.
Opinion
In
our opinion and to the best of our information and according to the explanations
given to us, the financial statements give the information required by the Act
in the manner so required and give a true and fair view in conformity with the
accounting principles generally accepted in India:
(a)
in the case of the Balance Sheet, of the state of affairs of the Company as at
March 31, 2013;
(b)
in the case of the Profit and Loss Account, of the profit/ loss for the year ended
on that date; and
(c)
in the case of the Cash Flow Statement, of the cash flows for the year ended on
that date.
Report on Other Legal
and Regulatory Requirements
1.
As required by the Companies (Auditor's Report) Order, 2003 ("the Order")
issued by the Central Government of India in terms of sub-section (4A) of
section 227 of the Act, we give in the Annexure a statement on the matters specified
in paragraphs 4 and 5 of the Order.
2.
As required by section 227(3) of the Act, we report that:
a.
we have obtained all the information and explanations which to the best of our
knowledge and belief were necessary for the purpose of our audit;
b.
in our opinion proper books of account as required by law have been kept by the
Company so far as appears from our examination of those books [and proper
returns adequate for the purposes of our audit have been received from branches
not visited by us];
c.
the Balance Sheet, Statement of Profit and Loss, and Cash Flow Statement dealt
with by this Report are in agreement with the books of account [and with the
returns received from branches not visited by us];
d.
in our opinion, the Balance Sheet, Statement of Profit and Loss, and Cash Flow
Statement comply with the Accounting Standards referred to in subsection (3C)
of section 211 of the Companies Act, 1956;
e.
on the basis of written representations received from the directors as on March
31, 2013, and taken on record by the Board of Directors, none of the directors
is disqualified as on March 31, 2013, from being appointed as a director in
terms of clause (g) of sub-section (1) of section 274 of the Companies Act,
1956.
f.
Since the Central Government has not issued any notification as to the rate at
which the cess is to be paid under section 441A of the Companies Act, 1956 nor
has it issued any Rules under the said section, prescribing the manner in which
such cess is to be paid, no cess is due and payable by the Company.
For XYZ and Co.
Chartered Accountants
Firm's Registration
Number
Signature
(Name of the Member
Signing the Audit Report)
(Designation)
Membership Number
Place of Signature
Date
No comments:
Post a Comment