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ZEALBANGLA

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ZEALBANGLA 20-Nov-2019

(Continuation news of ZEALBANGLA): Statement of Financial Position and reduced the current year retained earnings through the Statement of Changes in Equity. This is not in line with IAS 8 Paragraph 42 which states that adjustments for prior years should be done through retrospective restatement by updating previous year asset, liability and equity balances. Therefore, there is a material misstatement in the current year Statement of Changes in Equity.(End)

ZEALBANGLA 20-Nov-2019

(Continuation news of ZEALBANGLA): 8.The Company has made a prior year correction of BDT 8,84,66,766 through the Statement of Changes in Equity. The Company had incurred additional salary and gratuity payables related to previous financial years of the above-mentioned amount due to an increase in monthly salary grid set for government employees. The Company has recorded this additional liability by increasing payables on the(cont.11)

ZEALBANGLA 20-Nov-2019

(Continuation news of ZEALBANGLA): if any, could be material Note 21.00 Balance of Current Account with BSFIC Enterprises as on June 30, 2019 was TK 1,859,473,580 and as on June 30, 2018 was TK 1,518,003,266 Note 22.00 Balance of Current Account with BSFIC Enterprise (Payable) as on June 30, 2019 was TK 10,177,309 and as on June 30, 2018 was TK 8,699,922 (cont.10)

ZEALBANGLA 20-Nov-2019

(Continuation news of ZEALBANGLA): 7. As disclosed in the note 21.00 and 22.00 of the financial statements regarding Current Account with BSFIC and Current Account with BSFIC Enterprises TK 1,859,473,580 and TK 10,177,309 respectively. We were unable to obtain sufficient appropriate audit evidence on which to make any opinion, and we conclude that there may be possible effects on the financial statements of undetected misstatements, (cont.9)

ZEALBANGLA 20-Nov-2019

(Continuation news of ZEALBANGLA): amounting to TK 17,172,858. We were unable to obtain sufficient appropriate audit evidence on which to make any opinion, and we conclude that there may be possible effects on the financial statements of undetected misstatements, if any, could be material. Note 17.00: Balance of Current account with BSFIC Ent. (Receivable) as on June 30, 2019 was Taka 17,172,858 and as on June 30, 2018 was Taka 3,337,558 (cont.8)

ZEALBANGLA 20-Nov-2019

(Continuation news of ZEALBANGLA): The Financial Statement is misstated by the amount of Tk. 5,311,981 Note 15.00: Balance of Advance Income Tax as on June 30, 2019 was Taka 9,781,886 and on June 30, 2018 was Taka 9,781,886. Tax deducted at source from the sales of sugar supplied to Ministry of Defense of GOB @ 5% on total sales bill. 6. As disclosed in the note 17.00 of the financial statements regarding Current account with BSFIC Ent. (Receivable) (cont.7)

ZEALBANGLA 20-Nov-2019

(Continuation news of ZEALBANGLA): and on June 30, 2018 was Taka 34,090,257 5.As disclosed in the note 15.00 of the financial statements regarding Advance Income Tax, amounting to TK 9,781,886. This amount have been cumulating from the financial years 1991-1992 to 1994-1995 and 2017-2018 and lying unadjusted for all this time. Of the amount TK 9,781,886, TK 5,311,981 is unrealizable under the Income Tax Ordinance Act. (cont.6)

ZEALBANGLA 20-Nov-2019

(Continuation news of ZEALBANGLA): regarding Trade and Other Receivables, in respect to "Trade Debtors" amounting TK 27,055,722, we were unable to obtain sufficient appropriate audit evidence on which to make any opinion, and we conclude that there may be possible effects on the financial statements of undetected misstatements, if any, could be material. Note 13.01 Balance of Trade Debtors as on June 30, 2019 was Taka 27,300,420 (cont.5)

ZEALBANGLA 20-Nov-2019

(Continuation news of ZEALBANGLA): own policy by the Company. The assets were acquired significant years before this audit period and the company does not have adequate financial records to determine the acquisition date for assets using the straight line method. Consequently, we were unable to quantify the necessary adjustment amount for the relevant financial statement line item. 4. As disclosed in the note 13.00 of the financial statements(cont.4)

ZEALBANGLA 20-Nov-2019

(Continuation news of ZEALBANGLA): Therefore, we are unable to quantify necessary adjustment amount for the relevant financial statement line item. 3. As per policy of the Company, depreciation should be charged on Non-Current Assets based on Reducing Balance Method. However, we have found that the company have charged depreciation on straight line basis on some of its fixed assets in the financial statements. This is a noncompliance of its(cont.3)

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