March 2012
Beginner
623 pages
35h 9m
English
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COMPANIES (AUDITORS REPORT) ORDER (CARO), 2003
This order came into effect on 1 July 2003 replacing the Manufacturing and Other Companies (Auditor’s Report) Order (MAOCARO). This new order has placed increased responsibility on auditors and calls for greater corporate disclosures. According to chartered accountants, the propriety concept has made greater inroads in the new reporting order.
For example, the auditor will now have to look at whether a term loan has been used for the purpose it was taken. In other words, the end use of funds will have to be correctly assessed. The auditor is also expected to state if funds raised for short-term purposes are being used for long-term investments.
Keeping in mind the increasing number of corporate frauds ...
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