Dear All,
A company has given loan to a partnership firm in which almost all the directors are partners. the loan was given in 2014-15 and the same was reversed in the same financial year. As auditor has raised a query what can be the possible reason be given for transfer of funds.
Can it be said that the money was an advance for some services to be rendered, but later the contract or agreement was revoked.
Request you suggest the way out (if any) to frisk the Auditors.
Requisite paper can be prepared.
Thanks
Regards
Ranjeet
9819290813
CAclubindia
