M s Jost rsquo s Pvt Ltd private company having paid up capital ge 20Cr desires to appoint Soham and...........

Companies Act-Phase (I & II) Audit and auditors

M/s Jost’s Pvt. Ltd., private company having paid up capital ≥ 20Cr, desires to appoint Soham and associate (Audit Firm) as an auditor of the company. For how many years company shall appoint Mr. Shan as an auditor of the company?

1 Year

5 Years

10 Years

Any number of years without any restriction

छोटे Courses बड़े Results

Master Audit and auditors

Prepare through Micro-courses

Try Now

Explanation:

As per section 139 (2) and the Companies (Audit and Auditor) Rules, 2014

Following companies can not appoint an individual as auditor for more than one term of Five consecutive years and an audit firm as auditor for more than 2 terms of 5 consecutive years(i.e. for 10 years)

a) Listed Compnies

b) all Unlisted public company having paid up share capital of rupees 10 crore or more

c) all private limited companies having paid up share capital of rupees 50 crore or more

d) all companies having public borrowings from Financial institutions, banks or public deposit of rupees 50 cores or more

As in the given question M/s Jost’s Pvt. Ltd., is a private company having paid up capital ≥ 20Cr, desires to appoint Soham and associate (Audit Firm) as an auditor of the company. So he can appoint a auditor for any number of years without any restriction