A private company is supposed to register itself under Shop & Establishement Act. But it has not done so. Instead in the books it has provided as liability – Registration fees and penalty payable to the department as payable to government concerned department under current liability. The questions in this context are:
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Should statutory auditor qualify his audit report.? What should be the wordings for qualification?
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If the report is not to be qualified, should this matter be reported in notes to accounts. IF yes, what should be the wordings for the notes?
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