Which of the following are the primary responsibilities of the directors of a limited liability company? (Select all that apply)

Answer options:

Preparation of the financial statements

Expressing an independent opinion on the financial statements

Implementing and maintaining internal controls

Filing personal tax returns for all shareholders

How to approach this question

Distinguish between the roles of management (directors) and external parties (auditors).

Full Answer

The directors are responsible for managing the company, which includes maintaining proper accounting records, implementing internal controls, and preparing the financial statements. Auditors express the independent opinion.

Common mistakes

Assuming directors are responsible for the audit opinion.

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Practice the full ACCA FA — Financial Accounting Practice Exam 2

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