International Finance and Accounting Handbook

15 • 23

Africa and Middle EastSaudi Arabia

All businesses whose owners

By shareholders and/or

To enhance the credibility of

Saudi Arabian Auditing

enjoy limited liability; all

owners

the financial statements and

Standards. In the absence of

banks, public companies,

to state if the financial state-

Saudi standards, U.S.

multinational companies

ments: (1) present fairly the

standards are applied.

financial position and resultsof a business; (2) complywith the requirements of theregulations for companiesand with the company’s arti-cles of association insofar asthey affect the preparationand presentation of the finan-cial statements.

Kenya

Companies registered and

Auditors of companies regis-

Member of ICPA(K) are

governed by the Companies

tered under the Companies

under an obligation to serve

Act (Chapter 486 of the Laws

Act (Chap 486 of the Laws of

Kenyan Accounting

of Kenya). For companies, the

Kenya) must be appointed by

Standards and observe

audit is a statutory require-

the members of the company.

approved auditing guidelines.

ment. In practice, however,

In the case of banks and

In addition, members of

audits are a predominant

financial institutions, the

ICPA(K) are obliged by their

practice for most enterprises.

Central Bank of Kenya must

regulations, where no Kenyan

be notified of a change of

Accounting Standard exists,

auditor and approval of the

to observe international

change must be sought.

accounting standards issuedby the IASC.

Exhibit 15.2.

(Continued

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