Regulatory Framework of Accounting
Regulation
Regulatory Bodies
Definitions
Accounting Profession
European Union
The Government
Stock Exchange
Legislation
SSAP's
FRS's
Directives
Listing Rules
Comparable
Compliant
Consistent
Uniform
The Companies Acts 1963, 1990, 2003, 2006 and 2014
Under legislation different classifications of business have been created
Public companies
Large private companies
Medium Private Companies
Small private companies
The balance sheet total is the sum of the fixed and current assets
Turnover is income from normal business activities
The average number of employees is the weekly average employed by the company
Statement of Standard Accounting Practice
statements on how certain transactions should be dealt with
Financial Reporting Standards
An updated version of the SSAP's
Seventh
Eighth
Fourth
2006
Amount of disclosure in final accounts
Consolidating company accounts
qualification and regulation of auditors
amendments to other directives
financial arrangements and/or contracts
breakdown of loans
half yearly reports
statement of interest
principal country
Geographic breakdown of profits
changes to capital structure
The Financial Reporting Council
The Urgent Issues Task Force (UITF)
The Auditing Practices Board (APB)
The Review Panel
The Professional Oversights Board (POB)
Accounting Standards Board (ASB)
The Accounting and Actuarial Disciplinary Board (AADB)
issues all new accounting standards
Ask for final accounts to be redone has the authority for legal action
Assist the ASB
develop auditing procedures and practice
monitor audits
deal with malpractice
The Audit
An audit is an independent examination of company financial statements
It must comply with the companies act
it must show a true and fair view
All information must be available and included
Accounting concepts must be followed
Accounts must be consistent
Results
Unqualified Report
Qualified Report
is a clean report, it states that conditions have been met
means the company is not complying to standards