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CMA Intermediate · Corporate Accounting and Auditing · Accounts of Banking, Electricity and Insurance Companies

Under the Banking Regulation Act, 1949 as reproduced, when a banking company furnishes its accounts and balance-sheet under section 31, what must it send to the registrar at the same time?

The bank must send the registrar three copies of its accounts and balance-sheet and of the auditor's report, at the same time as it furnishes them under section 31. Sending fewer copies or leaving out the auditor's report would not meet section 32(1).

  1. AOne copy of the accounts only
  2. BThree copies of the accounts and balance-sheet and of the auditor's reportCorrect
  3. CTwo copies of the balance-sheet only
  4. DThree copies of the auditor's report only

Explanation

Section 32(1) requires the banking company to send to the registrar three copies of the accounts and balance-sheet and of the auditor's report at the same time as it furnishes them under section 31. Options limited to only one document or fewer copies do not match the text.

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