10-02-2009, 11:57 PM
Star
Are you debating to prove your words or you really want to know the subject matter. If later is the case, have you read my second last post in real sense.
I also mentioned that law uses the words certification and auditing. However, law no where prescribed or guides how audit has to be conducted and how things have to be verified for certification purpose. Auditor always have to obtain guidance from auditing standards for whatever work he performs.
You said certification is lesser in scope. Let me tell you that certification provides far more and absolute assurance while audit only provides moderate assurance. That's why firms are now transforming this certification into "auditors' report to members" wherever possible and wherever law has not given a format.
There cannot be a huge difference between the timing of valuation and issuance of shares since this valuation is made for this very purpose only. Your view about depreciation is incorrect. If there would be a greater difference of time leading to charge depreciation, as you pointed out, it will again require you to get the assets revalued afresh. I mean we cannot destroy the real sense and purpose of law. Depreciation issue is stated in law for the purpose I explained you in second last post. I would like you to see some real life revaluation report issued for this purpose.
CA code of ethics, ordinance, byelaws, everything asks the members to be ethical, professionaly diligent, updated, and don't commit professional misconducts. If the work is not performed properly or is done ignorantly or indifferently and this can be proved some where, members are punished for being guilty of professional misconduct. What do you need to know in this regard? Let me know.
If some CA finds and believes that the valuation of assets (say, Land) is made on too high values that are incorrect by all means, let me know how can he issue a certificate and if he issues what sort of assurance he will provide? It will certainly lead to professional misconduct. We have historical examples of such conclusions.
Either you have to know the profession in detail to understand this matter or we have to stop further debate.
No hard feelings. But if you still have different view, it is nothing but a permamnent difference.
Regards,
KAMRAN.
Are you debating to prove your words or you really want to know the subject matter. If later is the case, have you read my second last post in real sense.
I also mentioned that law uses the words certification and auditing. However, law no where prescribed or guides how audit has to be conducted and how things have to be verified for certification purpose. Auditor always have to obtain guidance from auditing standards for whatever work he performs.
You said certification is lesser in scope. Let me tell you that certification provides far more and absolute assurance while audit only provides moderate assurance. That's why firms are now transforming this certification into "auditors' report to members" wherever possible and wherever law has not given a format.
There cannot be a huge difference between the timing of valuation and issuance of shares since this valuation is made for this very purpose only. Your view about depreciation is incorrect. If there would be a greater difference of time leading to charge depreciation, as you pointed out, it will again require you to get the assets revalued afresh. I mean we cannot destroy the real sense and purpose of law. Depreciation issue is stated in law for the purpose I explained you in second last post. I would like you to see some real life revaluation report issued for this purpose.
CA code of ethics, ordinance, byelaws, everything asks the members to be ethical, professionaly diligent, updated, and don't commit professional misconducts. If the work is not performed properly or is done ignorantly or indifferently and this can be proved some where, members are punished for being guilty of professional misconduct. What do you need to know in this regard? Let me know.
If some CA finds and believes that the valuation of assets (say, Land) is made on too high values that are incorrect by all means, let me know how can he issue a certificate and if he issues what sort of assurance he will provide? It will certainly lead to professional misconduct. We have historical examples of such conclusions.
Either you have to know the profession in detail to understand this matter or we have to stop further debate.
No hard feelings. But if you still have different view, it is nothing but a permamnent difference.
Regards,
KAMRAN.
