I$\quad$ Companies with enhanced disclosure securities on offer
II$\quad$ Public companies
III$\quad$ Wholly Australian-owned large proprietary companies
IV$\quad$ Wholly Australian-owned small proprietary companies
-As a general rule, under the Corporations Act, which of the following types of companies must have their financial report audited for a financial year?

Question

Quizplus · Accepted Answer

Public companies and companies with enhanced disclosure securities on offer are required to have their financial report audited. Additionally, large proprietary companies (both wholly Australian-owned and foreign-owned) are also required to have their financial report audited. Small proprietary companies, whether wholly Australian-owned or foreign-owned, are generally exempt from the audit requirement unless they are part of a large group or are required to have their financial report audited under their constitution or other legal requirements. Therefore, options I, III, and IV are not always required to have their financial report audited, but II and III are. Hence, the best choice is B.

I \quad Companies with Enhanced Disclosure Securities on Offer II \quad Public Companies III

I $\quad$ Companies with Enhanced Disclosure Securities on Offer
II $\quad$ Public Companies
III