ACCA - Accountants for Business Global Forum Pakistan 2011

ACCA Pakistan is organising Accountants for Business Global Forum Pakistan 2011 on 17 November 2011 at Royal Palm Country & Golf Club in Lahore. Participants including senior HR, finance and accounting professionals from private and public sector and practice will attend the event.
More and more businesses demand from their finance, the ability to think about the future of the business, scan the horizon for business opportunities, design new business models and contribute to the innovation of products, services and processes. The event emphasises the need for discussions around business accountability and assurance provision challenges presented to the accountancy profession by the new business environment, talent management, revolutionising professional education and development through e-Learning.
The forum will discuss risk and rewards – shared perspectives, maximising people power - effective talent management in finance and the e-professional – embracing learning technologies. ACCA aims to bring together high caliber delegates and industry experts to lead a dialogue on topics that we see as the most important to the future of accounting, auditing, finance, education and management.

The speakers include Muhammad Uzair, Director Internal Audit, Tourism Promotion Services (Pakistan) Ltd, Tahir Jawaid, Vice President Human Resource and Public Affairs, Engro Corporation Ltd and Jehan Ara, President P@SHA. The panellists include senior professionals from ACCA Pakistan, PSO, AKD Securities Ltd, Islamabad Stock Exchange, Arif Habib Corporation Ltd, Allied Bank Ltd, Packages Ltd, Tetra Pak Pakistan Ltd, KPMG Taseer Hadi & Co. Chartered Accountants, Ernst & Young Ford Rhodes Sidat Hyder, Virtual University and BRAMERZ. The moderators of the panel discussions will be Mr Junaid Iqbal, former CEO BMA Financial Services Ltd, Ms. Mahreen Khan, General Manager, Group Communication & Public Affairs, Dawood Hercules Conglomerate and Hammad Siddiqui, Deputy Country Director, CIPE.    

On this occasion, Mr Arif Masud Mirza, Head of ACCA Pakistan said ‘as a participant of Accountants for Business Global Forum Pakistan 2011, you will deliberate upon critical drivers of the finance profession: corporate transparency, business accountability, audit and assurance, talent management and e-learning’.

ICI Pakistan, Pepsi-Cola International, Phillip Morris Pakistan, CIPE, Telenor Pakistan, PTCL and Servis Industries are the sponsors of the event...

ACCA’s organises train the trainer initiative

As part of ACCA’s continued efforts to develop excellence in professional accounting education and establish best practices amongst tertiary accounting education providers, ACCA Pakistan organised “Train The Trainer” workshop on 11, 12 and 14 October 2011 in Lahore, Islamabad and Karachi respectively. Almas Abbas Ali, Education Manager, ACCA Pakistan and Mujtaba Iqbal, CEO, CFTR were the event facilitators.

The event aimed at enhancing the capacity building of tutors by sharing the important exam techniques with the purpose of integrating them into their teaching and thus increasing the chances of students’ success in exams. It also highlighted the importance of holistic approach of course performance management which, ACCA emphasized that the learning providers and tutors need to take continuously. The event provided the opportunity for the tutors and academic managers to network and exchanges best ideas with one another. The panel discussion revolving around ACCA Trainees and their role at the workplace generated a lot of feedback from the participants. Speakers of the panel discussion included Akbar Afzal Jessani Senior Consultant Ernst and Young Ford Rhodes Sidat Hyder, M. Sharique Siddiqui Assistant Director (Monitoring & Inspection Wing) Security and Exchange Commission of Pakistan (SECP), Sarah Fazli Business Analyst United Bank Ltd, Pakistan, Muhammad Naveed Alam Deputy General Manager Siemens Pakistan, Abdullah Fahad Senior Manager Audit Ernst & Young Ford Rhodes Sidat Hyder, Omer A Chaudhry Controller – Accounting, Internal Audit & Compliance Tetra Pak Pakistan Ltd, Faisal Shaikh ACCA Member and SME Owner, Ayla Majid Director Business Advisory Services Khalid Majid Rehman Chartered Accountants, Ali Sheraz Shabbir Manager Billing and Revenue Wi-tribe Pakistan and Junaid Ghori, Vice President Islamic Banking, MCB Limited.

A total of 90 teachers and academic coordinators from ACCA Approved Learning Partners and learning providers attended the event. Participants appreciated the efforts of ACCA Pakistan for organising a very interactive and engaging event and wanted ACCA to organize such events in future as well.

ACCA organises Career Expo

ACCA Pakistan organised Career Expo in Lahore, Islamabad, Karachi, Abbottabad, Rawalpindi, Peshawar, Sialkot, Multan, Faisalabad, Gujranwala and Hyderabad. The Career Expo comprised presentations on Career Planning, ACCA qualification / Foundations in Accountancy- suite of qualifications and employment opportunities in the field of finance and accountancy. ACCA representatives including ACCA members and other senior professionals from the industry spoke to the students in these events.

The speakers included Ms. Shireen Naqvi, CEO SoL, Ms. Rahila Narejo, Lead Consultant and CEO NHR, Sohail Zindani, Consultant & International Speaker, The Learning Minds Group, Mr Fasi Zaka, Education Consultant, Ali Akram, Assistant Manager Finance, Telenor,  Imtiaz Jaleel, Commercial Manager Supply Chain, Unilever Pakistan Ltd,  Mian Shah Faisal, Director  Finance, Pearl Continental Hotel, Peshawar, Tabish Ahmed, Manager Finance, Faysal Bank, Sharique Siddiqui, Assistant Director, NBFC, SECP, Mr Muhammad Ali, Head of Audit, Engro Fertilizer, Mr Ali Sheraz, Manager Billing and Revenue, Wi-Tribe and the ACCA Pakistan Team including Haroon A Jan, Head of ACCA Lahore, Shamez Mukhi, Head of Public Affairs, Muhammad Shahid Khan, Business Development Manager, Sabahat Khan, Customer Services Manager and Noorulain Zafer, Marketing and Student Recruitment Manager.

Various ACCA Approved Learning Providers including College of Accountancy & Management Science (CAMS), SKANS School of Accountancy, Professional Academy of Commerce (PAC), Center of Financial Excellence (CFE), College of Accountancy and Professional Studies (CAPS) and National College of Business and Management Sciences (NCBMS), provided one-to-one career advice and disseminated information on Foundations in Accountancy and ACCA qualifications at each Career Expo.  

Shamez Mukhi, Head of Public Affairs, ACCA Pakistan said ‘The Career Expo provided a platform for hundreds of students and their parents to learn and meet with the professionals so that they are able to make informed career decisions. Many educational institutions in Pakistan don’t have a formal setup for career guidance and hence the experts in the ACCA career expo were able to train students on career planning process and link ACCA qualification with employment opportunities in the fields of finance, accountancy and management.

ACCA Pakistan trains career advisors

ACCA Pakistan recently organized a series of Career Counseling workshops for teachers and student advisors in Islamabad, Lahore and Karachi. ACCA recognizes the integral role career guidance plays in helping students identify their natural talents in order to pursue a career promising them professional success.

The workshops were based on the concept that the best career exploration and job search strategies capitalize on the natural strengths of an individual’s Personality and Behavioral Style. Shamez Mukhi, Head of Public Affairs, ACCA Pakistan welcomed the participants, explaining the challenges students and parents encounter while making career choices and the resources developed by ACCA for students, teachers and parents. Speaking on the occasion he added, “One of the aims of the workshop is to ensure that ACCA Pakistan recruits students with the right aptitude, who are ambitious and committed to their careers so that they can excel as ACCA members”

Noorulain Zafer, Manager Marketing and Student Recruitment, ACCA Pakistan, made a presentation on Foundations in Accountancy and ACCA qualifications, entry routes, tuition providers and employment opportunities in Pakistan. She also answered questions about employability and the excellent employer base that ACCA enjoys nationally and globally. In addition to that participants were also given an overview of ACCA’s brand and the marketing activities it undertakes for potential students.

This was followed by a technical training on ‘career counseling to personality type’ conducted by Rahila Narejo, Lead Consultant and Chief Executive, NHR. Rahila emphasized on the significance of aligning career decisions to student’s aptitude and industry demand.

The workshop was attended by 82 participants from leading schools, colleges, universities and ACCA tuition providers. Participants were of the view that career guidance is a dynamic, on-going process enabling students to identify the best-fit career path for themselves. They commented that the training organized by ACCA Pakistan has been very helpful in equipping them as career advisors with the career assessment and guidance tools and techniques.

Students don’t need to wait until next April to reclaim overpaid taxes, says ACCA

ACCA advises students to check what they are owed

Hundreds of thousands of students are starting their new university year in the next few weeks, and ACCA is reminding those who worked summer jobs or are planning to work part-time at university to claim back any overpaid tax.
‘Money earned by summer jobs or part-time work is unlikely to push income over the personal allowance limit,’ says Chas Roy-Chowdhury, head of tax at ACCA. ‘Students need to check their payslips to make sure they’ve not paid tax that they don’t owe. If anyone has overpaid tax, they can claim it back now; they don’t have to wait to the end of the tax year.’
The 2011/12 personal allowance is £7,475. Anyone who earns under this amount in a tax year (April-April) does not have to pay income tax. Income tax should only be paid on money earned over the personal allowance threshold.
‘To make things easier for businesses, tax is usually taken out of pay packets automatically, even if it shouldn’t be,’ says Chas Roy-Chowdhury. ‘Students should work out what they earned during the summer or what they expect to earn over the coming months. If this figure comes under the threshold and students see from their payslips that they have been paying or are paying income tax, they should get in touch with their nearest tax office.
‘However, while you can claim back overpaid income tax, there’s nothing you can do about National Insurance Contributions. With few exceptions, everyone in work has to pay these.’
HMRC can be contacted about overpaid tax on 0845 300 0627. Those claiming overpaid tax should have their National Insurance number to hand. Those still working should get a rebate in their next pay packet, while those no longer working can expect a cheque. You can also find out more information on overpaid tax on HMRC’s website (see 'related links')
‘To avoid future problems during holiday times, whether at Christmas or Easter or next summer, students can fill out a P38S form,’ continues Chas Roy-Chowdhury. ‘This stops tax from being automatically taken out of your pay packet during holidays and saves you from the hassle of tracking down your rebates.
‘University can be a worthwhile but expensive experience. If you’re owed money, there’s no point waiting for HMRC to give it back to you; you need to get on the case.’

ACCA launches Global Forums to discuss vital issues for business

International expertise to drive innovative thinking on the global accountancy profession

Ten new Global Forums have been launched by ACCA to bring together expertise from all sectors around the world to tackle issues crucial to the finance profession and business.
The Global Forums will help to develop ACCA’s work to influence government, policy makers and businesses on key issues and contribute to ACCA’s Research and Insights projects and initiatives.
The Forums will meet on a regular basis to further the thinking on current and future issues in a number of specific technical subject areas, as well the accountancy and finance profession more widely. They will have an international remit to develop views which support the needs of business globally, with an increasing emphasis on emerging markets.
ACCA believes that issues are very frequently local and will continue to pursue a local agenda, where appropriate, within this new framework, especially in areas such as tax, regulation and SME matters.
The new Forums will also help ACCA with its aim to strengthen its local contributions by drawing on thinking and best practice from around the world to inform its insight.
As part of the initiative, two new areas – Accountants for Business and Accountancy Futures - will be regularly discussed by leading finance professionals and academics.
Boon Yew Ng, executive chairman of Raffles Campus in Singapore, and the new chair of ACCA’s global Accountancy Futures Academy, said: 'The challenges that lie in front of the profession are global, and we will need a consistent, global response if we want our profession to continue to meet business’ needs in the future.'
Richard Moat, FCCA, former CFO and Deputy CEO of Everything Everywhere, and chair of Accountants for Business forum, said:
'Finance professionals have a significant contribution to make to the strategic success of organisations, and these new forums will ensure that appropriate issues and concerns for the profession, across all sectors, will be thoroughly addressed.'
Neil Stevenson, Executive Director- Brand with ACCA, said:  'We are delighted that the Global Forums have already attracted a wealth of experience and expertise from diverse backgrounds. They will be ideally placed to look at important issues will be very effective in helping to shape and inform ACCA’s global policy.'
The Global Forums are: The Accountancy Futures Academy; Accountants for Business Global Forum; and global forums for Governance, Risk and Performance; Corporate reporting; Audit and Assurance; Sustainability; Business Law; Public Sector; Taxation and SMEs.

• Accountants for Business Global Forum Chaired by Richard Moat FCCA, former CFO and Deputy CEO of Everything Everywhere,  the Forum is a business-focused think tank, which reflects ACCA’s belief in the value that sound financial management brings to business.  Representatives of global business and corporate stakeholders come together to explore the complex issues affecting accountants and the businesses they serve. 
• Accountancy Futures Academy Chaired by Ng Boon Yew, Executive Chairman, Raffles Campus, Singapore, this Academy will work to develop ACCA’s Research and Insights programme by identifying issues of major significance for the global accountancy profession. It will also develop a network of potential high-level contributors to ACCA’s work, and will ensure the overall quality of ACCA’s Research and Insights outputs. 
• Global Forum for Governance, Risk and Performance Chaired by Adrian Berendt, Executive Director of LCH Clearnet, the Forum will work to show how professional accountants can support ethical, sustainable business and enhance their value to their employers and other stakeholders. 
• Global Forum for Corporate Reporting Chaired by Lorraine Holleway, Finance manager of Royal Dutch Shell, this Forum will reflect the fact that corporate reporting is of increasing importance, especially with the continuing globalisation of standards, developments in integrated reporting and a drive to ensure the relevance of reporting to investors. The Forum will work to influence the development of IFRS and it will also work to identify, evaluate and champion enhanced forms of reporting which are crucial to bringing value to investors, business and the public. 
• Global Forum for Audit and Assurance Chaired by Robert Stenhouse, Director, National Accounting and Audit at Deloitte, this Forum will provide input into audit standards-setting, in particular to influence the development of International Standards on Audit (ISAs). It will also work to identify, evaluate and champion new and alternative forms of assurance which bring value to investors, business and the public.
• Global Forum for Sustainability Chaired by David Nussbaum, Chief Executive of the World Wildlife Fund-UK, this Forum will continue ACCA’s long history of promoting transparency and accountability on sustainability issues, and the role of the professional accountant. ACCA has been at the forefront of sustainability issues since 1990, so the Forum will be building on strong foundations. It will debate trends and developments in sector-specific areas, and develop leading positions on relevant issues related to the broad topic of sustainability. 
• Global Forum for Business Law Chaired by Faris Dean, of solicitors Lyons Davidson, this Forum will work to reflect the fact that the business world is becoming increasingly global; there are more and more areas of the law, such as money laundering – that are becoming effectively standardised. This Forum will examine issues about the legal implications of doing business, fighting corruption and financial crime and challenging red tape. 
• Global Forum for the Public Sector Chaired by Datuk Wan Selamah Wan Sulaiman, the Accountant General of Malaysia, this Forum will champion the many issues affecting the public sector around the world, including financing, governance and capacity in the delivery of public services. 
• Global Forum for SMEs  Chaired by Mark Gold, Senior Partner with Silver Levene and immediate past President of ACCA, this Forum will identify the needs of SMEs around the world and argue for policy makers to put this vital sector at the forefront of public policy.
• Global Forum for Taxation Chaired by Mukesh Gunamal, Director of Global Tax Quality and Risk Managerment, Ernst & Young, this Forum will provide a basis for lobbying internationally for transparent and simple tax systems, and will discuss developments and trends in this often contentious area, from personal taxation, to tax regimes for SMEs and for large corporates

ACCA looks forward to constructive dialogue with European Commission on audit

Lessons have to be learned, and time is right to re-examine the role of statutory audit for a sustainable future, says the global accountancy body

ACCA is aware of the widespread speculation concerning the forthcoming announcement by the European Commission of its future legislative proposal on statutory audit.
However, while ACCA will not make any formal public comment on the Commission's proposals until they are actually made, we have, during the process of consultation which has already taken place, made clear our position regarding the future of audit policy in Europe.
'We agree with the Commission that the time is right for all parties with an interest in audit to re-examine the role of statutory audit in the light of our collective experience of the financial crisis. We support the Commission's project to review all aspects of existing law and regulatory practice with the aim of learning lessons from that experience. While we accept that there are lessons to be learned, our position is that we continue to believe strongly in the value of audit as a tool which can provide material benefits to companies and their various stakeholders and are keen to ensure that the value of audit is maintained and enhanced in the years to come', says John Davies, head of Technical at ACCA.
ACCA accepts that maintaining and enhancing the value of audit may mean making significant changes to how audits are currently conducted and regulated. We have ourselves promoted the idea that the scope of audit needs to be expanded so as to take on more responsibilities which are likely to make a real difference to shareholders and regulators, such as reporting on how companies manage their strategic risks.
John Davies explains: 'We share the Commission's concerns about concentration in the listed company audit market and believe that changes should be made to the audit environment to encourage greater involvement on the part of smaller firms in listed company audit work. We also fully endorse the Commission's goal of improving audit quality and accept that integral to that goal must be to address issues relating to independence, objectivity and professional scepticism.'
'In pursuing these ambitions, however, we believe it is important to ensure that we do not resort to inflexible and bureaucratic measures which risk creating practical problems within the corporate sector and which could even prove counter-productive in terms of their effects on audit quality. Crucially, whatever arrangements are eventually adopted to replace the current Directive should, in our view, focus on outcomes as much as procedures', he adds.
'ACCA looks forward to the publication of the European Commission's plans in November and to engaging in a constructive dialogue on them, both with the EU executive and the co-legislators. With this in mind, ACCA is organising a round table meeting on the issue in Brussels in early December', John Davies concludes.
source ACCA Global 

“The world has changed – reporting must too”

"The world has changed – reporting must too"

Business and investment leaders today call for a new approach to corporate reporting in a landmark Discussion Paper, called Towards Integrated Reporting – Communicating Value in the 21st Century, published by the International Integrated Reporting Committee (IIRC).

Integrated Reporting will provide more comprehensive and meaningful information about all aspects of an organization's performance and position, presented in a much clearer, more concise and more user friendly format. In particular it will demonstrate the links between an organization's financial performance and the social, environmental and economic context within which it operates.

The development of Integrated Reporting is designed to enhance and consolidate existing reporting practices to move towards a reporting framework that provides the information needed to develop the global economic model to meet the challenges of the 21st century.

Integrated Reporting will be clear and comprehensible, providing a meaningful assessment of the long term viability of an organization, meeting the information needs of investors and other stakeholders and supporting the effective allocation of financial, manufactured, human, intellectual, natural and social capital.

Sir Michael Peat, Chairman of the IIRC, says:

"The range of issues – economic, environmental and social – which determine an organization's success has never been broader or more pressing. It is for this reason that we need an approach to reporting that is fit-for-purpose in the 21^st century. The world has changed – reporting must too. 

"All matters which are important in assessing an organization's performance and position, past and prospective, need to be reported but not by making annual reports ever longer and more complex – they are too long already. The information needs to be provided clearly and concisely with the connections between financial, environmental and social impacts demonstrated and the clutter removed. This is what Integrated Reporting seeks to achieve."

The discussion paper Towards Integrated Reporting – Communicating Value in the 21st Century presents the rationale for Integrated Reporting, offering initial proposals for the development of an International Integrated Reporting Framework and outlining the next steps towards its creation and adoption. Its purpose is to prompt input from all those with a stake in better reporting, including producers and users of reports.

Professor Mervyn King, Deputy Chairman of the IIRC, says:

"The IIRC's approach is one that will present a globally co-ordinated solution to reporting, avoiding the current problems with reporting requirements in different jurisdictions developing in different directions and at different speeds. Integrated Reporting reduces the compliance burden and enables more effective decision-making for investors."

Sir Michael concludes:

"I hope that corporate reporting stakeholders will feel able to support the development of Integrated Reporting and the work of the IIRC by contributing to this consultation process. The initiative to introduce a global Integrated Reporting framework is ambitious in vision and scope but the prize is considerable."

The Integrated Reporting Discussion Paper and further information can be found at www.theiirc.org.

ACCA qualifications in demand in challenging times

The demand for a professional accountancy qualification has remained high during tough economic times as the results from the ACCA (Association of Chartered Certified Accountants) examinations in June reveal that 196,000 students sat papers, with more than 6,000 taking a major step towards membership of the global body for professional accountants.
Candidates around the world took more than 373,000 papers, with 6,294 students successfully completing their final ACCA examinations. A further 2,978 students completed the Certified Accounting Technician (CAT) exams.
At the Fundamentals level, pass rates were particularly pleasing for the tax and law papers.Students continue to find papers F5 Performance Management, F7  Financial Reporting and F8Audit and Assurance challenging. At the Professional level the pass rate remains strong in paper P1, Governance, Risk and Ethics which tests students' professional judgement. This is the first session to place a greater emphasis on risk assessment and risk management within the exam.
The results for optional papers P4, Advanced Financial Management, P5, Advanced Performance Management and P7, Advanced Audit and Assurance were disappointing.  Generally those students failing were not able to apply their technical knowledge to real-life practical scenarios. ACCA is working on support packages becoming available for students and tutors in the optional papers.
Arif Masud Mirza, Head of ACCA Pakistan, said:
“We congratulate those who have succeeded in their exams – and we are delighted to see that more than 6,000 have completed their examinations, having been able to demonstrate the financial knowledge and professional skills which are needed by organisations in challenging economic conditions. We look forward to welcoming them to ACCA membership on completion of their practical experience requirements. We look forward to examining our new suite of awards, Foundations in Accountancy which replaces the existing CAT qualification from December 2011.  Foundations in Accountancy offers students a choice of awards at different levels and the availability of more computer-based exams than are currently available. This is the first stage of the innovative e-assessment programme being developed by ACCA which will lead to all its examinations, across all levels, being offered online. 
“In addition to offering greater flexibility, our new e-assessment model will enable us to test students’ knowledge and skills in a way which more accurately reflects real-life workplace scenarios and activities and which meet employers’ needs, creating the e-professional.”
The first papers will transition to the new system in 2012 with all papers being phased over the next few years.

June 2011 session ACCA Qualification pass rates:
Paper F1, Accountant in Business, 70%*
Paper F2, Management Accounting, 57%*
Paper F3, Financial Accounting, 55%*
Paper F4, Corporate and Business Law, 55%
Paper F5, Performance Management, 37%
Paper F6, Taxation, 51%
Paper F7, Financial Reporting, 38%
Paper F8, Audit and Assurance, 40%
Paper F9, Financial Management, 38%
Paper P1, Governance, Risk and Ethics, 52%
Paper P2, Corporate Reporting, 50%
Paper P3, Business Analysis, 47%
Paper P4, Advanced Financial Management, 30%
Paper P5, Advanced Performance Management, 35%
Paper P6, Advanced Taxation, 45%
Paper P7, Advanced Audit and Assurance, 31%

ACCA Career Expo 2011

ACCA Pakistan organised ACCA Career Expo this week in Karachi, Lahore, Faisalabad, Multan, Rawalpindi and Hyderabad. The events in each city featured an exciting career counseling session, launch of Foundations in Accountancy (FIA) and ACCA career fair. There was also a session on employment opportunities for ACCA trainees and members. Various ACCA approved learning partners disseminated information on ACCA and FIA suite of qualifications.  The career fair served hundreds of students who have recently completed their intermediate and A level studies by exploring their career path in fields of finance, accountancy and management.

The speakers in these sessions were Ms. Shireen Naqvi, CEO School of Leadership, Mr Fasi Zaka, Education Consultant, Mr Sharique Siddiqui, Assistant Director – NBFC, SECP, Mr Muhammad Ali, Head of Audit, Engro Fertilizer, Mr Ali Sheraz, Manager Billing and Revenue, Wi-Tribe and the ACCA Pakistan Team including Mr Khurram Iqbal, Customer Service Executive, Ms Sabahat Khan, Customer Service Manager, Ms Noorulain Zafer, Manager Marketing and Student Recruitment, Mr Shahid Khan, Business Development Manager, Mr Taimur Beiram, Business Development Manager, Mr Haroon Jan, Head of ACCA Lahore and Mr Shamez Mukhi, Head of Public Affairs.

After these successful events, ACCA Pakistan is now embarking on the ACCA road-shows at various educational institutions and also career fairs in different cities of Pakistan to provide career advice to students as well as their parents.

ACCA’s third online virtual conference

ACCA’s third online virtual conference attracts big names to discuss important issues for the business world

10 August 2011: More than 6,000 finance professionals have signed-up for ACCA’s (the Association of Chartered Certified Accountants) online Research & Insights Conference which launched last week. The conference sessions can be viewed on-demand via the ACCA website until 27 October 2011 at the following link: www.accaglobal.com/RIConference 

The conference covered a wide range of topics from a wealth of expert speakers, including: the new business environment: opportunities for growth; why talent management in finance matters; integrated reporting: a framework for the future; financial issues from Brussels; extended audit reporting; the eProfessional: creating the next generation of accountants; making businesses accountable; cloud computing; social media; and XBRL.

HRH Prince of Wales delivered a live address at the conference on his involvement with the Accounting for Sustainability Project, as part of the session on integrated reporting.

The online audience also heard from Professor Mervyn King, deputy chair of the International Integrated Reporting Committee (IIRC), who also talked about the future scope of integrated reporting, as well as the benefits and challenges of creating a framework that brings together financial, environmental and social and governance information in a clear, concise and comparable format.

Mark Gold, ACCA’s President, delivered a keynote welcome address for online attendees of the conference. Speaking after the event he said: “ACCA’s programme is relevant and timely, and includes excellent insights and advice for budding entrepreneurs and innovative accountants. The key to this conference is that it can be accessed online until the end of October, meaning that for those who didn’t get a chance to see everything in one day, they can dip into the sessions they want to see – from audit to pensions, from shareholding accountability to the future of the European economy.”

“The Research and Insights Conference is a fantastic opportunity to catch-up with the latest thinking on issues at the cutting edge of the accountancy profession,” says Ewan Willars, director of policy at ACCA. “Speakers from around the world covered a variety of regional and global topics that are highly timely and relevant. There is something for every kind of business and finance professional.”

MAXIMIZING PEOPLE POWER

MAXIMIZING PEOPLE POWER

EXPLORING PAKISTAN’S PERSPECTIVE

Talent Management must be placed at the heart of the organisation. It must have buy in from senior management and also the structure of the business must support the talent development principle. At a time when the country’s economy is under tremendous pressure and businesses are finding it difficult to maintain their efficiency or even survive, managing talent can be a saviour. 

ACCA and KPMG undertook a global study of best practices in Talent Management in businesses. The research report ‘Maximising People Power’ highlights the role that finance teams can play to generate a competitive advantage.

To discuss the current state of talent management practices in Pakistan, senior professionals gathered at ACCA’s roundtable discussions on ‘Maximizing People Power’ held in Karachi, Lahore and Islamabad. They opined that there were many motives for businesses to consider adopting an integrated talent management approach across organizations.  Some key drivers for implementing talent management practices in order of importance were fast track progression and value addition in business, business sustainability, cost efficiencies, succession planning, staying abreast of technical and technological changes, employee retention and developing specialized skills, and continuous learning and development.

Mr Mujtaba Khalid, EVP Internal Audit PTCL said that although PTCL has a training academy in place that looks after the development of its employees. He added further that PTCL is going to introduce job rotation in certain departments in order to realise the benefits of on the job training.

Historically, with a few exceptions, the local businesses in Pakistan have not kept talent management practices on their list of priorities. The main reason for their doing so was the uncertainty around the return on investment and the outcomes of these practices. This has resulted in either slower business growth or closure in case they couldn’t sustain the economic downturn.  On the contrary, multinationals operating in the same economic environment in the country that had talent management at the heart achieved record high profits.

The panellists of the roundtable discussion concluded that growth in businesses is directly proportional to the amount of investment made in managing talent..

ACCA Pakistan receives Best Accountancy Brand Award third time in a row

ACCA Pakistan receives Best Accountancy Brand Award third time in a row

ACCA Pakistan has been awarded Brand of the year award in the category of Professional Accountancy programme 2010. The award ceremony was organised by the Intellectual Property Association and the Brands Foundation.

Mr Shamez Mukhi, Head of Marketing, Communications and Media Relations received the Award on behalf of ACCA Pakistan from the chief guest, Prime Minister Yousuf Raza Gilani in presence of Chairman IPO, Mr Hamidullah Jan Afridi, Governor Sindh, Dr Ishrat ul Ibad and Chief Minister, Syed Qaim Ali Shah. While receiving the award Mr Mukhi commented that, "It is an honour for ACCA Pakistan to be acknowledged as a winning brand at the national level for the third time consecutively. While brand visibility is important, it is more significant to live the brand values. ACCA's image really comes from the ACCA community who are ambassadors of our 5 values; opportunity, accountability, integrity, diversity and innovation".

On this occasion, head of ACCA Pakistan, Mr Arif Masud Mirza said "this is a competitive process and relies upon the views of the public and other third party factors" congratulating the Brands Foundation for this initiative, he said "this is an ideal public-private partnership that encourages healthy competition among leading organisations and also increases their awareness about consumer preferences. It is a great platform to support and propel business enterprise in Pakistan."

High inflation and low investment hampers recovery, ACCA survey shows

High inflation and low investment hampers recovery, ACCA survey shows

South Asian finance professionals more pessimistic amid disappearing opportunities 

Rising inflation and flat investment have kept the world's economic recovery stuck in reverse, the latest Global Economic Conditions survey from ACCA (the Association of Chartered Certified Accountants) has shown.

Of the 2,186 ACCA members surveyed between 16 May and 6 June 2011, only 26% reported increased confidence, down from 28% three months ago, with 57% saying that economic conditions are either deteriorating or stagnating, up from 51% only three months ago.

While the rocketing inflation of the first quarter of 2011 was not repeated in the second three months, a greater proportion of those surveyed, 54% - up from 51% in the last quarter - reported an increase in operating costs. This is double the number of respondents who mentioned inflation two years ago.

The survey shows that rising costs are not just confined to the fastest-growing economies.

While best performing markets Malaysia and Pakistan are leading the inflation league table, rising costs were also cited by 45% of respondents in Western Europe, which has been affected by the continent's debt crisis,  still sits at the bottom of the ranking in terms of business confidence and economic optimism.

The survey shows that businesses are becoming increasingly unable to respond to the inflationary challenge through cost-cutting.

Around 30% of respondents expect their governments to get spending decisions right in the medium-term, but 16.5% expect dangerous levels of over- or under-spending and this group has been growing every quarter since late 2009.

Access to finance has been tightening globally for the past six months, and this appears to be the case for both growth capital and short-term liquidity. This, combined with rising costs, now appears to be leading to an increase in the number of respondents who fear that customers (31%) or suppliers (15%) might go out of business, as well as those reporting problems with late payment (31%).

Despite these worrying trends, confidence figures among finance professionals have not yet dipped to a situation where they believe there will be a renewed downturn.

For the past two years, professionals in Africa and the Asia-Pacific region have been consistently more optimistic than their colleagues elsewhere about the state of the economic recovery, and this resulted in high levels of confidence in their own organisations.

In this survey, however, confidence is surprisingly low in both regions, with Asia-Pacific recording a net loss of confidence for the first time in two years. Hong Kong and Malaysia seem to be particularly affected, while Singapore has bucked the trend by recording further confidence gains.

While the gloom in the Far East reflects the fallout from the disaster in Japan, flagging confidence in Africa is mostly a lagged effect of the slowdown elsewhere. The GECS results show that the impact of a drop in activity in OECD countries has for the last few months been trickling down the supply chain, first to the Asia-Pacific region and then to Africa.

However, unlike the previous quarter, most of the pressure on access to finance appears to be concentrated on Asia-Pacific and the Middle East.

Under these challenging conditions, profitable value-added opportunities of most types have become scarcer and the investment environment has deteriorated slightly, especially in terms of financing and business support. Still, investment itself has remained flat and the outlook for employment and investment in staff has even improved slightly. This is almost certainly related to the slow recovery in new orders.

Arif Masud Mirza, Head of ACCA Pakistan says: "There are a number of concerns in the latest report, including that the loss of momentum in Asia and Africa has become particularly pronounced in the last few months. The limits of austerity are also being explored in Western Europe and a renewed tightening of credit and cashflow conditions could be on the cards, even as new orders and employment are beginning to recover.

"If these new trends - coupled with high inflation and low investment - persist we would expect to see further instability in the near future, which will present more challenges for all sectors professional accountants whether they work in practice or industry in the second half of 2011."

South Asia remains pessimistic amidst poor macroeconomics and disappearing opportunities

Finance professionals in South Asia recorded an overall loss of confidence in the last quarter, with only one in four (25%) respondents saying they were more optimistic about the prospects of their organisations than they had been three months earlier. Half of the region's respondents believe that global economic conditions are deteriorating or stagnating.

However, even this relatively poor performance represents an improvement over the last quarter. In fact, for many months now respondents in South Asia have been surpassed only by their colleagues in Western Europe for economic pessimism.

Some of the reasons are relatively obvious. First, the region is heavily affected by rising inflation; Pakistan in particular emerged as the worst-affected among ACCA's major markets, with 78% of respondents citing increased operating costs. Second, fiscal sustainability remains a problem, with 35% of respondents in the region (up marginally from 34%) expecting dangerous deviations from what they saw as the correct level of government spending in the medium term ( 5yrs).

Then there are worrying changes to the fundamentals: business failures multiplied significantly in the last three months, and investment appears to have fallen substantially, even though business incomes have not changed substantially and access to finance appears to have improved marginally. Volatile foreign exchange rates and inflation also posed challenges for a growing number of firms but they cannot account for the continuing loss of confidence. Rather, the problem appears to be that respondents see ever fewer opportunities for their businesses going forward, especially of the more value-added kind. Opportunities to invest in quality and customer insight, for instance, were much less frequently cited than even three months ago.

Here is ACCA's full report :

http://www2.accaglobal.com/pubs/general/activities/library/economy/tech-ms-gec10.pdf

New online application process launched

At ACCA we strongly believe that only our exams should be challenging and demanding. Applying to be a student shouldn't be.

That's why we've been working hard to improve our online application process so it's easier for you to apply to take our qualifications.

Our online application process is quicker and more convenient than ever before. You can now:

• apply online for the ACCA Qualification or Foundations in Accountancy suite of awards
• upload all supporting documentation so the application process is now fully automated
• save part-completed applications and return to complete them at a later stage
• claim provisional exemptions so they know which level they can start their studies immediately after completing their application
• track their application online
• receive confirmation of their application within a shorter time period.

Apply Now:-
http://www.accaglobal.com/en/qualifications/apply-now.html

Askari Bank becomes ACCA Gold Approved Employer

ACCA seeks to recognise and reward leading organisations that offer continual learning and development support to ACCA trainees. Having partnerships with over 8,500 employers across the world, ACCA Pakistan recently awarded Askari Bank Limited with Gold approved employer status.
The approved employer certificate was presented to Mr M. R Mehkari, President and Chief Executive, Askari Bank Limited by head of business development at ACCA Pakistan, Haroon A Jan.  
Commenting on the support ACCA will extend to Askari Bank, Mr Jan stressed that the ACCA approved employer program will assist Askari Bank in building their human resource competency, align practical experience performance with their professional development, understand how to tackle key development issues of financial professionals and facilitate sharing of best practices between the two entities. He further emphasized that ACCA and Askari Bank should work in conjunction on thought leadership agendas focusing on current economic and financial issues.

ACCA seeks to work closely with approved employers for the progression of ACCA trainees in particular and the accountancy profession at large.

Board diversity: is gender the missing link?

Board diversity: is gender the missing link?

Discussion forum by ACCA Pakistan

ACCA Pakistan organised discussion forums board diversity: is gender the missing link? in Lahore and Islamabad.  The panellists of the forum included Mr Arif Masud Mirza, Head of ACCA Pakistan, Mr Khawar Saeed Ansari, Pakistan Corporate Governance Project Manager, IFC Pakistan, Ms Sarwat Aftab, Director International Affairs & Coordination, Securities and Exchange Commission of Pakistan, Ms Shazia Syed, Executive Director, Unilever Pakistan, Mr Azhar Ali Syed, Managing Director, Tetra Pak Pakistan Limited, Ms Rahat Hassan, Chairperson, Competition Commission of Pakistan, Monis Rehman ,CEO, Naseeb Networks and Ms Shazreh Bano, Gender specialist. The discussions were moderated by Dr Afra Sajjad, Head of Education and Policy Development, ACCA Pakistan.

'As policy makers and business leaders are internationally considering a trend for more board diversity (including gender diversity), the examination of the business case for board gender diversity in the context of Pakistan merits consideration' explained Dr Afra Sajjad, Head of Education and Policy Development of ACCA Pakistan.

Mr Mirza, Head of ACCA Pakistan commented, 'Women constitute 43% of ACCA global membership and ACCA was the first accountancy body to admit women to its membership, in 1909. These discussions by presenting a business case for gender diversity based on the premises of fair access and routes to progression, endorses ACCA's core values of opportunity and diversity'.

The key recommendations emanating from the forums included aligned to international best practices introduction of achievable realistic measurable targets for ensuring professional competent women reach boards, making the corporate pipeline deliver by having an enabling organisational and board culture, executive search firms having codes that would compel them to actively search for women nominees for board positions, by having women networks, mentoring women and developing case studies around successful women role models. Cultural and social barriers could be overcome by education and awareness of the business case for women having an equal opportunity for career progression. The revised code of corporate governance by encouraging listed companies to have at least one woman independent director could be the enabling factor for having women on boards.

       

The participants of the forum were key personals from public practice, corporate and public sector.

PRE-BUDGET IS ALL ABOUT PLANNING THE WORK AND POST BUDGET IS ABOUT WORKING THE PLAN

PRE-BUDGET IS ALL ABOUT PLANNING THE WORK AND POST BUDGET IS ABOUT

WORKING THE PLAN

ACCA Pakistan considers Pakistan's Federal Budget 2011 to be aiming for increasing the tax base by acknowledging the need for rational, fair and equitable taxation. The devolution of certain significant budgetary decisions to provinces last year and with agriculture being a provincial subject, the provincial budgets to be announced shortly would assist in assessment of effective utilisation of the funds. The budgets would also outline provincial education, health, social development priorities for future as well as their willingness to think of out of box revenue raising measures which are extremely essential for socio-economic-entrepreneurial development of the provinces. ACCA suggests that the accountability, transparency and efficient record keeping of funds usage by provinces would benefit from investment in financial reporting, accounting, auditing and financial management skills and knowledge.

With professionalism the theme of public sector reforms around the world, budget acknowledgement of the need for reforms in Pakistan's public sector provides an opportunity for consideration of the need to

seek professional expertise in areas of taxation, auditing, corporate governance, financial reporting and financial management. Similar to last year, the salaries of federal government employees have been

increased. As the perceived outcomes of the salaries increases is improved efficiency, performance and motivation; development and communication of performance measures in annual reports or website

would help taxpayers appreciate the utility of the salary increases and the improvement in services offered to general public. It is of benefit to society, individuals and businesses if there is a clear link between tax take and its pay back benefits.

With the international focus on stakeholder aligned sustainable business model, focused and professional regulations envisaged by the budget should discourage ticking the box approach to regulations and instead focus on simplicity of regulations creating a business culture where probity and openness of business operation and disclosure is rewarded. In context of taxation laws the burden of tax should not fall unfairly on taxpayers who play by the rules and pay their fair share.

In the absence of social welfare schemes for underprivileged population and declining social development funds, poverty alleviation through creating an enterprise friendly taxation and business environment require serious consideration. The translation of the resolve to unleash the potential of youth entrepreneurship in new

creative cities into action is urgently needed given that more than half of our population is under the age of 30 and not all of them are educated or employed. The time taken in the planning and the creation of the creative cities could be utilized by the potential entrepreneurs business management, marketing, social media, accounting, financial management and auditing skills and knowledge building. With water management as a budget priority, tax benefits to water effluent treatment plants and encouragement of carbon credits schemes could have sent a strong message to international buyers and businesses about Pakistan's resolve to environmental stewardship, this may have created a competitive advantage for businesses.

ACCA considers the phasing out of the federal excise duties and the withdrawal of exemptions and concessions as the right step in the direction of simplification of taxation system. The implementation of the resolve to widen the direct tax base by inclusion of a large number of tax payers through strict enforcement is essential for creation of a perceived fair taxation system. Urgently needed enterprise growth would be assisted by increase of tax credit in establishment of listed companies and allowance of BMR expenditure as a deduction. For simplification of tax laws, monthly submission of withholding tax statements and mandatory filing of income tax returns and statements where income is between Rs. 300,000 to Rs.350,000 can be dispensed with. ACCA endorses rationalization of sales tax regime by reduction of general sales tax rate to 16%, withdrawal of certain exemptions and streamlining of procedures.

A budget document is a planning document which is manifestation of a government's annual revenue and expenditure expectations. The public as stakeholders have the right to know how effectively the budgetary forecasts and expectations have been achieved, how transparently the resources allocated to different expenditures have been utilized. The federal budget maker's vision of a fair rational enterprise taxation system would benefit from more accountability, transparency and probity of the budgetary exercise and utilization of funds as well as effective implementation of the budgetary plans and projections.

ITS TIME TO WORK THE PLAN.

ACCOUNTANCY BODIES PETITION MP OVER ONLINE TAX FILING PROPOSALS

Six accountancy bodies have written to David Gauke MP, Exchequer Secretary to the Treasury, to express their concern about the forthcoming mandatory requirement that all UK companies should submit statutory accounts to HM Revenue & Customs (HMRC) in iXBRL format.

ACCA, the Association of Accounting Technicians (AAT), the Association of Taxation Technicians (ATT), the Chartered Institute of Taxation (CIOT), the Institute of Chartered Accountants in England and Wales (Tax Faculty) and the Institute of Chartered Accountants of Scotland (ICAS) are concerned about HMRC's proposals for the 'transition' arrangements, which come into effect on 1 April 2011, and the fact that there are ongoing software problems.

'It's significant that the major professional bodies have come together to put the case for a deferral,' said Chas Roy-Chowdhury, ACCA head of taxation.

'We are all recommending that plans for filing are revised to recognise the adverse impact of delays in software availability and implementation problems.'

The joint letter says that these two critical issues will 'disadvantage a substantial proportion of UK businesses, with small to medium-sized businesses and their agents being hit the hardest'.

Roy-Chowdhury added that all the organisations are keen to work with HMRC on online filing, hoping that the letter will have an impact and that action will be taken.

'HMRC should take swift action to advise taxpayers and agents of refinements to the implementation plan, and should issue clear guidance on how the current problems arising from non-delivery or late delivery of software are being addressed,' he said.

'If HMRC continues with its 1 April deadline, it will impose a significant business cost on a large number of firms that will dilute, if not destroy, the message that iXBRL should be a positive long-term step for UK businesses.

Board diversity: is gender the missing link?

Board diversity: is gender the missing link?

ACCA Pakistan organised discussion forum 'Board diversity: is gender the missing link?' on 24 May 2011 in Karachi as gender diversity on boards has become an international discussion theme.

The panelists of the forum were Mr Arif Masud Mirza, Head of ACCA Pakistan, Mr Khawar Saeed Ansari, Pakistan Corporate Governance Project Manager, IFC Pakistan, Mr Asif Malik, Vice President Corporate HR & Life Sciences, ICI Pakistan, Ms Jehan Ara, President, Pakistan Software Houses Associations (PASHA), Ms Shafqat Sultana, President, First Women Bank Limited .The discussion was be moderated by Dr Afra Sajjad, Head of Education and Policy Development, ACCA Pakistan.

'As policy makers and business leaders are internationally considering a trend for more board diversity (including gender diversity), the examination of the business case for board gender diversity in the context of Pakistan merits consideration' explained Dr Afra Sajjad, Head of Education and Policy Development of ACCA Pakistan.

Mr Mirza, Head of ACCA Pakistan commented, 'Women constitute 43% of ACCA global membership and ACCA was the first accountancy body to admit women to its membership, in 1909. The discussion paper by presenting a business case for gender diversity based on the premises of fair access and routes to progression, endorses ACCA's core values of opportunity and diversity'.

Mr Asif Malik, Vice President Corporate HR & Life Sciences, ICI Pakistan said that organisations may like to build support programmes and provide access to role models (men and women), networks and mentors (men and women) to help women in middle and senior-level management to overcome perceived obstacles and to succeed in reaching board positions.

While giving her opinion, Ms Shafqat Sultana, President, First Women Bank Limited said that even though more women have entered Pakistan's paid workforce in the last decade, from the small number of professional, qualified and experienced women directors, it appears that there is a need for greater understanding of the potential business case for gender diversity on boards of publicly listed companies.

Ms Jehan Ara, President, Pakistan Software Houses Associations (PASHA) elaborated on the role of social media and information technology in creating awareness of the business case for having women on boards.

Mr Kanwar Anwar Saeed, General Manager Human Resources, Engro Fertilizers Ltd said that business leaders who are already championing gender diversity on boards within their organisations may be encouraged to assume an ambassadorial role, promoting the benefits of gender diversity on boards at public forums.

The participants of the forum were key personals from public practice, corporate and public sector.

Audit changes must be meaningful not superficial warns ACCA

Audit changes must be meaningful not superficial warns ACCA

International inquiries into role of audit raise concerns

ACCA, in a policy paper Audit under fire: a review of the post-financial crisis inquiries, addresses the issues which have been raised during investigations by the UK House of Lords, the European Commission and the US senate. In Singapore and elsewhere, regulators are also actively engaged in stakeholder consultations to assess how audit can be enhanced. The EC has promised legislative changes by the end of 2011.

Arif Masud Mirza, Head of ACCA Pakistan said: "Audit is under unprecedented scrutiny in the UK, Brussels and the US, following the global financial crisis. We have already had the European Commission promising that 'the status quo is not an option'. In this paper we examine the various proposals put forward in the course of these inquiries and set out some recommendations for positive reform. Audit plays a vital role in the global economy by instilling trust in company reporting and we believe it needs to be enhanced for the greater benefit of investors and business.

"But it is essential that the changes made add value and are not motivated by the need to be seen as 'doing something'. Any changes need to meet an appropriate public interest test. Some of the suggestions that have been mooted during the various inquiries, would be, we believe, ineffective and costly."

Several recurring themes have emerged from the various inquiries including audit concentration, going concern issues, joint audits, mandatory audit rotation and the effect of International Financial Reporting Standards. ACCA is concerned that the political imperative for visible change may result in the wrong measures being adopted.

Arif Mirza concluded: "Policymakers and legislators have had every right to ask tough questions of auditors in the aftermath of the financial crisis. We believe enhancements to the role of audit can and should be made. But the changes which ultimately arrive as a result of all the inquiries need to bring real benefit and not be costly tinkering."

ACCA TV

ACCA's exclusive online channel for live and archived videos

Join the thousands of people watching ACCA.TV

If you're thinking about career choices - then take a look at our 'Why Accountancy' video. Or maybe you're already an ACCA student in which case you won't want to miss our live or on-demand 'student engage' interviews. For our members we encourage you to watch the 'Fit for the Future' video or get involved and join the AGM live!

Alternatively you might just like to browse around and watch what you like.

URL:

ACCA TV

HEC recognizes the ACCA qualification as being equivalent to a Masters degree

HEC recognizes the ACCA qualification as being equivalent to a Masters degree

The Higher Education Commission of Pakistan has granted equivalence to ACCA qualification to a Masters level degree. A circular issued by HEC states that ‘HEC recognizes the membership of Association of Chartered Certified Accountants (ACCA) after completion of professional qualification and other requisites including training and required professional experience as equivalent to M.Com. degree awarded by Pakistan universities on the following terms and conditions:

i) There will be no exemption awarded to incomplete qualification of ACCA.

ii) Initial admission in ACCA programme must be after having 12 years of education (intermediate level, A-level or equivalent certification from IBCC Pakistan.’

ACCA members, students, learning partners and stakeholders have hailed HEC decision calling it a major milestone in Pakistan’s professional accounting education pursuit of international recognition and excellence. Arif Masud Mirza, head of ACCA Pakistan commenting on the recognition said, ‘This is bold step by the HEC and shows that HEC is very much in touch with the changing demands of the highly skilled labour market, the mobility needs of our young members and their education aspirations generally. This is a rational step purely based on the academic merits of the ACCA qualification, I believe it will go a long way in promoting young professionals from Pakistan, increasing their employability and in the long run contributing to the social and economic development goals of Pakistan.’

Dr Afra Sajjad, Head of Education and Policy Development, stated: ‘ACCA Pakistan is dedicated to the growth of the accounting profession in the country. Essential to this is the provision of high quality tuition. In partnership with our Approved Learning Partners, through engagements, capacity building and awareness raising, ACCA aspires to bring professional accounting education in line with international benchmarks. Setting regional standards of excellence and this recognition from the HEC will add as an incentive to achieve this aim. Both ACCA and HEC share values such as integrity, opportunity, accountability, innovation and diversity, values which are very much needed if we are to rely upon our well trained young professionals to play a leading role in business and economic growth.’

The Chief Executive of ACCA, Helen Brand, offered a congratulatory message to the ACCA Pakistan community and added that: ‘This HEC recognition is evidence of the quality, rigour and integrity of the ACCA Qualification and the international standards to which it is set. This recognition will inspire ACCA members to play a greater role in both the economic and business growth of Pakistan.’

Record numbers sit ACCA exams

Results from ACCA's December 2010 exams session reveal that a record 205,000 individuals sat papers, with more than 6,000 taking a major step towards full membership.

Candidates around the world took more than 397,000 papers, with 6,420 students successfully completing their final ACCA exams and a further 2,926 students completing the Certified Accounting Technician (CAT) exams.

'We are delighted to see students successfully completing their examinations and demo

nstrating those skills demanded by employers in these challenging times,' said Clare Minchington, ACCA executive director - learning and products.

'ACCA is committed to developing professional accountants who can create value within business - and this is a good time to be qualifying as an ACCA member.

'Recent research by ACCA shows that CEOs expect demand for finance specialists to rise, with more than 70% seeing a need for more specialised finance roles in the future. The skills at the top of the CEO's wish lists - financial analysis for business decision making, risk management/internal control, and budgeting and financial forecasting - ar

e all fundamental elements of the ACCA Qualification.

'Regarding exam performance, we were pleased to see that performance in the Fundamentals Paper F7, Financial Reporting has improved as a result of the package of support put in place for this paper.

'We congratulate the students who have now completed their ACCA exams and we look forward to welcoming them to ACCA membership on completion of their practical experience requirements and professional ethics module.

'We would also like to congratulate those who completed the CAT exams,' Minchington added.

December 2010 session ACCA Qualification pass rates

• Paper F1, Accountant in Business, 70%*
• Paper F2, Management Accounting, 60%*
• Paper F3, Financial Accounting, 60%*
• Paper F4, Corporate and Business Law, 44%
• Paper F5, Performance Management, 41%
• Paper F6, Taxation, 44%
• Paper F7, Financial Reporting, 47%
• Paper F8, Audit and Assurance, 38%
• Paper F9, Financial Management, 40%
• Paper P1, Professional Accountant, 51%
• Paper P2, Corporate Reporting, 51%
• Paper P3, Business Analysis, 48%
• Paper P4, Advanced Financial Management, 33%
• Paper P5, Advanced Performance Management, 35%
• Paper P6, Advanced Taxation, 44%
• Paper P7, Advanced Audit and Assurance, 34%

December 2010 session CAT pass rates

• Paper 1, Recording Financial Transactions, 65%*
• Paper 2, Information and Management Control, 61%*
• Paper 3, Maintaining Financial Records, 61%*
• Paper 4, Accounting for Costs, 60%*
• Paper 5, Managing People and Systems, 51%
• Paper 6, Drafting Financial Statements, 63%
• Paper 7, Planning, Control and Performance Management, 39%
• Paper 8, Implementing Audit Procedures, 37%
• Paper 9, Preparing Taxation Computations, 58%
• Paper 10, Managing Finances, 41%

ACCA WWF Business Earth Talk

ACCA WWF Business Earth Talk

ACCA and WWF have partnered to organise ACCA-WWF Business Earth Talk on 22 April 2011. The high profile event will encompass discussion forums: 'Climate Change: A Business Challenge or Opportunity' and 'Predicting the Future: Annual Report 2030', followed by the ACCA-WWF Pakistan Environmental Reporting Awards ceremony. Bringing together stakeholders from different walks of life, the event on Earth Day, provides an excellent opportunity to discuss current trends in best sustainable practices and the evolving nature of business reporting whereas the Awards scheme recognises organisations that report corporate, environmental, social and sustainability performance to a broad range of stakeholders.

The discussion forums will be lead by industry experts including Rahat Kaunain Hassan, Chairperson, Competition Commission of Pakistan, Ali Hassan Habib, Director General, WWF Pakistan, Arif Masud Mirza, Head of ACCA Pakistan, Parvez Ghias, Chief Executive Officer, Indus Motor Company Limited, Shah Murad Aliani, Country Representative, IUCN Pakistan, Azhar Ali Syed, Managing Director, Tetra Pak Pakistan Ltd, Dr Afra Sajjad, Head of Education and Policy Development ACCA Pakistan, Sarfraz A Rehman, Chief Executive Officer, Engro Foods Limited, Aqueel Merchant, Partner & Country Leader - Advisory Services, Ernst & Young Ford Rhodes Sidat Hyder & Co. Chartered Accountants, Hammad Naqi Khan, Director Programmes, WWF Pakistan and Sohail Wajahat H. Siddiqui, CEO, Siemens Pakistan Engineering Co. Ltd. Minister for Environment, Ms Samina Khalid Ghurki has kindly consented to be chief guest for the evening.

The event is an excellent opportunity to network with policymakers, academics, think tanks, business leaders, donors and media professionals, who share common interests in the sustainable development of Pakistan and provide a platform on which ACCA ....

ACCA recognises outstanding achievement by Peshwari student

ACCA recognises outstanding achievement by Peshwari student

Exceptional accountancy student wins an ACCA Award

ACCA recognises outstanding achievement by Peshawari student
Ansar Ahmad from Peshawar in Pakistan is one of 33 students to win a global award from ACCA (the Association of Chartered Certified Accountants) for outstanding performance in their 2010 exams.

Ansar Ahmad is an ACCA Prizewinner for ranking third in the Certified Accounting Technician (CAT) exams. In 2010, over 205,000 students sat ACCA exams.
Arif Mirza, head of ACCA Pakistan, says: "Mr Ansar Ahmad came third in the Certified Accounting Technician exams in 2010. His hard work and determination have allowed him to obtain excellent results, and I am very happy to grant him this award."

Ansar Ahmad, who is not even 18 yet, prepared for the exams through self-study. When asked what obstacles he had to overcome while studying for the CAT qualification, he said: "To be honest, I enjoyed studying for the exams. My friends used to say, as a joke, that ACCA and accountancy became my family and that I have developed an emotional attachment with my studies!

"I chose ACCA because it has examination centres and offices all around the world and also has flexible options for exams. ACCA is recognised globally in every sector of employment", he added.

After exam results are released, ACCA recognises exceptionally talented students from around the world. Awards are given to the highest performing ACCA and CAT students.

Arif Mirza says: "All the students who have won an award are truly exceptional. I wish them every success in their future careers and they achieve the goals they have set for themselves."

ACCA-WWF Business Earth Talk

ACCA-WWF Business Earth Talk

ACCA is the global body for professional accountants. We aim to offer business-relevant, first-choice qualifications to people of application, ability and ambition around the world who seek a rewarding career in accountancy, finance and management. We use our expertise and experience to work with governments, donor agencies and professional bodies to develop the global accountancy profession and to advance the public interest.

ACCA and WWF have partnered to organise ACCA-WWF Business Earth Talk in Islamabad, encompassing discussion forums: 'Climate Change: A Business Challenge or Opportunity' and 'Predicting the Future: Annual Report 2030', followed by the ACCA–WWF Pakistan Environmental Reporting Awards ceremony. Bringing together stakeholders from different walks of life, the event on Earth Day (22 April 2011), provides an excellent opportunity to discuss current trends in best sustainable practices and the evolving nature of business reporting whereas the Awards scheme recognises that report corporate environmental, social and sustainability performance to a broad range of stakeholders.

 

Minister for Environment, Ms Samina Khalid Ghurki has kindly consented to be our chief guest for the evening. The panelists for the event include Rahat Kaunain Hassan, Chairperson, Competition Commission of Pakistan, Ali Hassan Habib, Director General, WWF Pakistan, Arif Masud Mirza, Head of ACCA Pakistan, Parvez Ghias, Chief Executive Officer, Indus Motor Company Limited, Shah Murad, Country Representative, IUCN – Pakistan, Azhar Ali Syed, Managing Director, Tetra Pak Pakistan Ltd, Dr Afra Sajjad, Head of Education and Policy Development of ACCA Pakistan, Sarfraz A Rehman, Chief Executive Officer, Engro Foods Limited, Aqueel Merchant, Partner & Country Leader - Advisory Services, Ernst & Young Ford Rhodes Sidat Hyder & Co. Chartered Accountants and Sohail Wajahat H. Siddiqui, CEO, Siemens Pakistan Engineering Co. Ltd.

 

ACCA acknowledges new members

ACCA acknowledges new members

ACCA Pakistan held its New Member Ceremony at Serena Hotel Islamabad to celebrate the achievement of new ACCA members who have attained the membership milestone during the period 2009-2010.

The ceremony commenced with welcome address by Mr Haroon Jan, Head of Business Development, ACCA Pakistan who congratulated the new members on their remarkable success and pointed out the benefits of professional training and development and the role of the work place mentors. He also motivated the members to continue their training and development through Continuous Professional Development (CPD) for a successful career progression.

Mr Salman Amin, GM Strategy Business Planning at OGDCL, in his keynote address, welcomed the new members to the ACCA fraternity and encouraged new members to channelize their efforts towards better financial transparency, synchronized financial reporting, and effective corporate governance and risk management.

The ceremony was graced by presence of the Additional Auditor General, Mr Aneece Marghoob, as chief guest of the evening. Mr Marghoob presented awards to ACCA's long standing workplace mentors in Pakistan including Mr Riaz Pesnani, Partner KPMG Taseer Hadi & Co Chartered Accountants, Mr Mohammad Saleem, Deputy Managing Partner M. Yousuf Adil Saleem & Co Chartered Accountants and Mr Khalid Majid, Chairman and Chief Executive, Khalid Majid Rehman Chartered Accountants.

In his address Mr Marghoob highlighted the importance of professional Accountants who understand the heart of business activity. He added that, the dedication and commitment of ACCA towards the continuous professional development of its members has set it as a progressive accounting body.

The ceremony concluded with a networking dinner.

ACCA Pakistan Learning Providers Forum

ACCA Pakistan Learning Providers Forum

:
As part of ACCA's continued efforts to develop excellence in
professional accounting education and establish best practices amongst
tertiary accounting education providers, ACCA Pakistan organised
"Learning Providers Forum" on 30 March 2011 at Best Western Hotel
Islamabad. Dr Afra Sajjad, Head of Education and Policy Development of
ACCA Pakistan was the forum facilitator.

The participants were faculty members of ACCA Approved Learning
Partners (ALP) and tuition providers in Pakistan. The participants
appreciated efforts of ACCA Pakistan in enhancing the capacity of the
ALP faculty members. They were of the opinion that such forums are
useful and relevant to their work as it enables them to learn new
teaching skills and provide them a platform to share their opinions
and challenges.
Speaking the forum:-
Dr Afra Sajjad, Head of Education and Policy Development, ACCA
Pakistan stated that tutors should take right steps from the planning
stage in order to deliver an exam-focused course. She said that tutors
should think ahead that how assignments and progress tests may be used
to maintain exam focus during syllabus coverage to help marginal
students succeed in their final exams. She added that these forums
display ACCA Pakistan's commitment to faculty development of ACCA
tuition providers in Pakistan.

The forum also featured a discussion forum "Professional Accounting
Education: Achieving Par Excellence". The Panel discussion was
moderated by Habiba Zaidi, Education Executive ACCA Pakistan and the
panelists included Mr Salahuddin, Principal ACCA, The Professionals'
Academy of Commerce, Ms Izzat Jahan, Director - Audit & Accounts
Training, Department of the Auditor General of Pakistan, Mr Adnan Ali,
Head of Web Strategy, Vopium and Dr Afra Sajjad, Head of Education and
Policy Development, ACCA Pakistan.
The aim of the discussion forum was to provide a common platform to
ACCA tuition providers, employers and IT experts for discussing the
existing and emerging teaching practices that nurture talent and are
aligned to the industry's business model. Another interesting aspect
in discussion was the perspective on how IT and social media can be
leveraged for innovating education practices.

--

*Husnain Rasheed*
Guest Service Officer | Pearl Continental , Shahrah-e-Quaid-e-Azam, Lahore-
54000, Pakistan
Cell: +92 321 4193732 | Tel: +92 42 6360210 | UAN: +92 42 111505505 | Fax:
+92 42 6362698
E-mail: husnainrasheed@gmail.com | URL: www.pchotels.com | Corporate URL:
www.hashoogroup.com
*P** save a tree. Please print this e-mail only if it is really
necessary.......*

Paper 1.1 Chap:5

Paper 1.1
Chapter 5
The Accounting Concepts - Part 4 (Historical Cost Accounting vs. CPP vs. CCA)

Traditionally, accounts were prepared to fulfill the needs of the owners of the business
and to assist the managers’ for the business to make decisions about the future.
Yet, it was later made clear that the accounts prepared under the historical cost
convention provided misleading information because of the inability to reflect the
changing price levels.

Examples

1. When property appreciates in value, the historical cost convention which values it
at its purchase cost, wouldn’t reflect its true and fair value. This means that unrealized
holding gains are not recognized until the period in which the asset is realized, rather
than spread over the period during which it was owned.
2. Depreciation based on a Fixed Assets Historical Cost may be inadequate to
finance the replacement of the Fixed Asset if the appreciation in value is larger than
the depreciation charged!
3. Furthermore, the depreciation charge wouldn’t fully reflect the value of the asset
consumed during the accounting period.
4. The following example applies to stock appreciation during a period of inflation.
During Inflation No Inflation
Sales (100 Units) $ 500 $ 500
Less: Cost of Sales
Opening Stock (100 Units) $ 200 $ 200
Purchases (100 Units) $ 200 $ 200
Closing Stock (100 Units) ($300) ($100) ($200) ($200)

Gross Profit $ 400 $ 300

Basically, the trading account above compares the gross profit of a certain company at
two different accounting periods, one being inflationary whilst the other excludes
inflation. At the beginning of the year the trader had 100 units of stock at a cost of
$200, during the year the trader purchased 100 units at a cost of $200, and at the
year end, the Historical Cost of the 100 units remaining after the sale of $100 units is
$300 due to the appreciation in stock, and thus, inflating profit by $100.

5. HCA ignores any holding gains or losses of net monetary items during a period of
a change in prices/
6. The effect of inflation on capital maintenance is not known. Capital maintenance
is the amount of sufficient retained profit to ensure that the net assets at the end of
a period are at least equal to those at the beginning of the period. I.e. to keep the
capital intact.

As a result of all the previous examples, one can see that over time, the inability of the
HCA to account for changes in price level means that one cannot obtain realistic, true
and a fair view of the company’s accounts from one period to another.

Reasons for Continued Use

1. Easier and cheaper to record transactions, and analyze them based on their HC.
2. The figures are easy to obtain and they are objective and readily verifiable, being
tied to actual transactions, whereas other methods seem to be subjective.
3. HC is easier to understand and users are aware of its limitations.
4. Since revaluations of fixed assets are permitted, the problems associated with
understating the value of property are avoided.

The Current Purchasing Power
The use of the CPP means that the profit for the year is calculated after an adjustment
designed to reflect the effect of general price inflation on the purchasing power of
equity shares. In other words, if you refer back to the example concerning the
appreciation in the price level of the closing stock, you’d find, that previously, $200
would be adequate to purchase 100 units of stock, whereas, now, the 100 units cost
$300 to purchase, thus the purchasing power has dropped by $100, or by 1/3rd.

The Current Cost Accounting

This method of accounting doesn’t attempt to cater for general prince inflation, instead,
profit for the year is to be calculated after allowing for the effects of price increases,
specifically on the operating capability of the particular business.

a) In other words, assets are stated at current value, which is what we do when we
revalue property.
b) Holding gains are excluded from profit in the P&L. how?