Duties, Rights, and Competences of a Director in ABC Limited

MBA case study report

EXECUTIVE SUMMARY
The project report is based on a company that is ABC limited. The report summarizes
about duties and rights of director of a company and these aspects are linked to chosen company.
Along with report abstracts about committee work of audit council and various kinds of
framework of each element of auditing. The further part of report abstracts about transparency
and accountability of prepared financial statement of selected business entity that is ABC
limited.

Contents
EXECUTIVE SUMMARY.........................................................................................................................3
INTRODUCTION.......................................................................................................................................5
MAIN BODY..............................................................................................................................................5
1. Duties, rights and competences of a director...................................................................................5
2. Committee work..............................................................................................................................7
3. Board structure and style.................................................................................................................9
4. Transparency and accountability of the company..........................................................................10
CONCLUSION.........................................................................................................................................11
REFERENCES..........................................................................................................................................13

INTRODUCTION
The report of the auditor shall be a formal view, or a dismissal, approved as the secret
services for the client to adopt decisions quality of audit outcomes by an inner or an external
independent auditor (Li, Hay and Lau, 2019). The project report is based on a company that is
ABC limited that manufactures electronic and telephonic gadgets. In the report an auditor’s
report prepared that consists different types of information such as duties of director, committee
work, transparency and accountability of company.
MAIN BODY
1. Duties, rights and competences of a director.
Two individuals – the owners and its board of directors – are accountable for an
organization. The management of a business is under the responsibility of the Board of
Directors, buying the government's strategic decisions, and guaranteeing the company
fulfills its legal obligations. The job as a director is to take part in board meetings to
encourage the board to take certain decisions and to ensure that the responsibilities of the
organization are fulfilled.
Duties of a director- Director of ABC limited has below mentioned duties such as:
 Fiduciary duties- The director is a shareholder of the corporation. The role of fiduciary
relates to faith and honesty. Directors are required to act honestly and responsibly in their
fiduciary role. In the ABC limited this is the duty of director is to maintain trust of
different shareholders in company.
 Duties of care, skills and diligence- The duties of service and the skills of the Director in
the Businesses Act are not accounted for explicitly. In fact, the court adopted the rulings
of England and the laws of the common law (Naritomi, 2019). A director must ensure
that the business of the company is conducted by an ordinary person. He is not an
insurance company’s success. The role of a director was created to compel him to behave