Div 4Accounts, Balance-sheets and Audit.

Division 4.—Accounts, Balance-sheets and Audit. Separation of accounts. V. 4778, s. 12. Imp. Act 1923, s. 12. 41. Where a company establishes and maintains a statutory fund in respect of both ordinary life insurance business and industrial insurance business, it shall keep separate accounts of its receipts and payments (including sums ascertained by apportionment under the next succeeding section) in respect of the ordinary life insurance business and in respect of the industrial insurance business and shall also keep separate accounts of the amounts of that statutory fund which are derived from the ordinary life insurance business and from the industrial insurance business, respectively. Apportionment of receipts and payments. Imp. Act 1923, s. 12. 42. Where a company establishes and maintains a statutory fund in respect of both ordinary life insurance business and industrial insurance business, and any amount received or paid by the company is in respect of the life insurance business in respect of which that statutory fund is maintained but is not received or paid wholly in respect of the ordinary life insurance business or wholly in respect of the industrial insurance business, the company shall, for the purposes of this Division, apportion the amount in an equitable manner between the ordinary life insurance business and the industrial insurance business. Appreciation and depreciation of assets. 43. Where a company treats any asset as having appreciated or depreciated in value, the company shall, for the purposes of this Division, regard the amount of the appreciation or depreciation as a receipt or payment, as the case may be. Accounts and balance-sheet. Imp. Act 1909, ss. 4–6. V. 4602, ss. 529–530. Q., ss. 9–10. S.A., ss. 45–46. W.A., ss. 18–17 T., ss. 14–15. 44.—(1.) Subject to this section, every company shall, at the expiration of each financial year of the company, prepare— (a) a revenue account for the year in accordance with Form A in respect of each statutory fund; (b) a revenue account for the year in accordance with Form B in respect of any insurance business, other than life insurance business, carried on by the company; (c) except where the company does not carry on any business other than life insurance business, a profit and loss account for the year in accordance with Form C; and (d) a balance-sheet in accordance with Form D. (2.) Where a statutory fund is maintained in respect of both ordinary life insurance business and industrial insurance business, separate revenue accounts in accordance with Form A shall be prepared for the ordinary life insurance business and for the industrial insurance business in respect of which that statutory fund is maintained. Audit Imp s .9. Eng. Cl. 7. 45. The accounts of every company shall be audited annually by its auditors, and every account and balance-sheet prepared by the company under this Division shall bear a certificate by the auditors as to whether, in their opinion— (a) the accounts and balance-sheet are in accordance with the provisions of this Act; (b) the balance-sheet truly represents the financial position of the company; and (c) the books of the company have been properly kept and record correctly the affairs and transactions of the company. Certificate as to apportionment. Imp. Act 1923, s. 12 (3) (b) 46. If an apportionment has been made under section forty-two of this Act, the certificate of the auditors under the last preceding section shall state whether they are satisfied that the apportionment has been made in an equitable manner. Auditors. 47.—(1.) A person appointed as an auditor of a company shall not be capable of performing the functions of an auditor under this Division unless the Commissioner has approved of his performing those functions. (2.) The Commissioner may at any time revoke any approval given in respect of any person under this section, and thereupon that person shall not be capable of performing the functions of an auditor under this Division. (3.) In the event of any approval under this Division being revoked in the case of a person who holds an appointment as an auditor of a company, the directors of the company may, subject to this section, appoint some other person to perform in respect of the company the functions of an auditor under this Division until such time as an auditor is appointed in accordance with the articles of association or other rules of the company. (4.) An appeal shall lie to the Court or the Supreme Court of a State or Territory against any refusal of the Commissioner to approve of any person performing the functions of an auditor under this Division, or against any revocation of an approval given in respect of any person under this section. (5.) On any such appeal, the Court may confirm or disallow the refusal or revocation.