Accounting Principles
Establishing accounts depends on the size of companies, and referring to three criteria: total of the balance sheet (total of assets without losses of the accounting year), the net amount of the turnover (net, such as it appears on the profit and loss account) and the average number of the workforce.
The control of medium and big companies must be made by one or several independent auditors of companies, appointed by the general assembly among the members of the Institute of Independent Auditors of Companies. The control of small companies must be made by an accountant appointed by the general assembly for definite duration. The conclusion of the independent auditor’s report can be: - A certificate without reserve, that is to say an approval - A certificate with reserves, that is to say that there is approval with reserves because of discords or doubts. - A refusal to give a certificate.
The accountants’ associations have difficulties to get organized because of the importance of the State in the accounting system.
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