Section 127 - Keeping of accounting records and preparation of financial statements

(1) A company shall keep proper accounting records with respect to the financial position and changes in the accounting records, and with respect to the control of and accounting for assets acquired whether for resale or for use in the business of the company, and, in particular with respect to

(a) the sums of money received and expended by, or on behalf of, the company and the matters in respect of which the receipt and expenditure takes place;

(b) the sales and purchases by the company of property, goods and services; and

(c) the assets and liabilities of the company and the interests of the members in the company.

(2) For the purposes of subsection (1), accounting records which do not give a true and fair view of the state of affairs of the company and are not necessary for the preparation of the proper income statements and statement of financial position in accordance with sections 129 to 135 are not proper accounting records.

(3) The accounting records may be kept by making entries in bound volumes, or, subject to compliance with subsections (2) and (3) of section 293, by a system of electronic recording, or otherwise.

(4) The accounting records shall be kept at the registered office of the company or at any other place in Ghana that the directors consider fit, and shall be open to inspection by the directors, Company Secretary and auditors of the company.

(5) The financial statements of a company shall

(a) comprise a

(i) statement of financial position,

(ii) statement of comprehensive income,

(iii) statement of cash flows,

(iv) statement of changes in equity, and

(v) summary of significant accounting policies and other explanatory notes to the financial statements; and

(b) be prepared in compliance with International Financial Reporting Standards adopted by the Institute of Chartered Accountants, Ghana or any other standards approved or adopted by the Institute.