Page 100 - F1 Integrated Workbook STUDENT 2018

Chapter 6

Duties of directors

Duties of directors can vary from country to country. Typically the legal duties of the
directors will include a requirement to:

 safeguard the entity’s assets and to prevent fraud and errors in the entity

 ensure that the entity keeps proper accounting records

 prepare annual financial statements showing the financial position, financial
performance and changes in the financial position during the reporting period

 deliver to the relevant national regulatory authority a copy of the entity’s audited
financial statements within a defined time limit

 set up an internal control system in the entity to ensure that all of the above
requirements are met.

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