Pakistan is blessed with a varied landscape. There are high mountains, flat plains, barren deserts, valleys, plateaus, forest and vegetation and a good river system. Pakistan has beautiful mountainous landscapes in the Northern Areas and on its western borders. The Himalayan Mountains are the highest range in the north east of the country. The highest … Read more

Among all the plants of the solar system, only the earth has the right kind of atmosphere in which plants and animals can live. It has oxygen which we use to breath. It has carbon dioxide which plants use to make to food. The atmosphere stops a large part of the heat of sun from … Read more

We cannot see air, but air is all around us. Surrounding us is a thick layer of air called atmosphere. It is like a blanket around earth. It extends to several hundred kilometers above the earth. Without thee atmosphere, there would be no life on Earth. As you go high up above the Earth the … Read more

A secrete reserve is a reserve that is created but not stated in a balance sheet. There are various ways of creating secrete reserves. The banks insurance companies and other financial institutions wants to win public confidence for there successful working. These business concerns can create secret reserves. It is a technique to show poor … Read more

A dividend is the share of the profits of a company. The shareholders make investment in shares. The return on investment in share is called dividend. It is the part of profit earned by the company. The directors can purpose the rate of dividend. The shareholders can approve it in the annual general meeting. The … Read more

The articles of association are the rules of the company for managing the business activities. The articles prescribe the rules for divisible profits. The directors are entitled to distribute the profit under the rules. They cannot exceed the prescribe limit. The Companies Ordinance 1984 states the rules and regulations for distribution of profits to the … Read more

The profits available for the distribution among the shareholders of a company as dividend are called divisible profits. The profits are calculated by comparing the income and expense of one year. The necessary adjustments are made before calculating the profit of a business concern. The accounting principles are followed. The directors have the right to … Read more

The purpose of investigation varies from business to business. The purpose of audit is to determine the true and fair view. The investigation relates to critical checking of particular records. The audit relates to checking of all books and record. The investigation may be conducted on behalf of owners and outsiders like investors. Audit is … Read more

The statutory report is issued by every public company limited by shares and limited by guarantee having shares capital. Such companies can hold statutory meeting after 3 months and before 6 months from the date of commencement of business. A company secretary can prepare the report and it is signed by three directors including chief … Read more

An audit report must have appropriate title, such as Auditor's Report'. It is helpful for the reader to identify the auditor's report. It is easy to distinguish it from other reports. The management can issue any report about the business performance. The title of the report is essential. The addressee may be shareholders or board … Read more

The manufacture of products or goods required material as the first basic element. These materials generally fall in to categories. These categories are direct materials and indirect materials. The materials used in the course of manufacture which enters into and becomes part of the product. Metals in the manufacture of fans, boilers, automobiles, aeroplans; wood … Read more

The classification of costs according to the three major functions or activities of an enterprise is not very useful because it does not provide necessary information for managerial control. a further classification or grouping is necessary. This classification breaks down or separates the total factory cost under three broad headings. These heading are direct material, … Read more

In a non technical sense the words cost and expenses are used interchangeably. But in cost accounting difference is recognized between the two. The term cost refers of that part of the acquisition price of a product or a service, which is expected to be useful in sense of obtaining sales revenue. In other words, … Read more

Substantive procedures are intended to get confirmation as to the entirety, accurateness and soundness of the data fashioned by accounting system. They are of two categories; analysis of particulars of transactions and balances and study of noteworthy ratios and trends together with the consequential inquiry of unusual fluctuation and items. When internal control system is … Read more

A force can do many things. It can make an object move. It can slow down or stop a moving object. It can also change the direction of moving objects. There are different types of forces. Two types of forces affect us all the time. These forces are gravity and friction. If we throw something … Read more

Asia is the largest continent of the world. It extends from the Mediterranean Sea in the west of the Pacific Oceans in the east. It is also the most populated continent on the planet. Many parts of Asia are Mountainous. Famous Mountain ranges in Asia are Himalayas (Pakistan, India, Tibet and Bhutan), Hindu Kush (Afghanistan … Read more

The investigator should enquire into the reasons of defalcation. Omission of receipts, theft of income, short carryover, double payments, and overcastting payments, personal can be charged to business. The exact reason may be examined expenses by the experts. The investigator can check the internal control system in operation. The week system can lead towards fraud. … Read more

The client can issue instructions to an investigator. The instructions must clearly state the person, department, company or other unit to be examined. The detail of work to be carried out. The client can state the purpose of investigation. The purpose may be purchase of business, lending of money, checking frauds, admission of partner, investment … Read more

The statutory investigation is made for the sake of prospectus. The government can issue investigation orders in case of misstatement in the prospectus. The authority can appoint investigator to examine the matters of the company relates to prospectus. The statutory enquiry may be made by the Federal Government relating to the dealing, business or transaction … Read more

Some rocks are hard. Diamond is the hardest rock. Some rocks such as chalk are not so hard. We use rocks in many ways. We construct buildings out of rocks. We also use rocks called precious stones in jeweler. Diamonds, rubies and sapphires are precious stones. Rocks are used in several other ways. Most rocks … Read more