Below this level audits are not obligatory provided that accounts and reports are prepared by a chartered accountant. In these cases the lack of auditing must be disclosed in the financial statements. Double entry bookkeeping is required for an Rt. The audit should assess whether the financial statements have been prepared according to the provisions of the accounting law, and provide an accurate description of the company's equity, financial and income situation. The accounting year is the calendar year.
Rules relating to branch offices are applicable to representative offices.
The annual report must give a genuine account, corresponding to the actual circumstances, of the pecuniary, financial and income situation of the entrepreneur, as well as of any changes therein. This means that costs should also be presented according to category, and not only separated into direct and indicrect costs attributed to products or services. The business report must provide an evaluation of the data contained in the accounts. It should also disclose information on treasury shares. The notes to the accounts provide additional information including a discussion of important developments for the business in the relevant year, details of liabilities due within five years or more, movements of tangible and intangible assets and a discussion of the company's research and development activities.