An Analysis on the Legal Background of Sri Lankan Business Enterprises.

Abstract

The open economic system was introduced towards the Sri Lankan finance system in 1977. Subsequentl a revolution within the country and people started engaging in new business, treads, enterprises an enterprises. On the other hand, even the economic system was changed in the entire country; the legal not amended accordingly. Therefore, new rules and regulations have been implemented through the B No. 30 of 1988, Finance Companies Act No. 78 of 1988, the Sri Lanka Accounting and Auditing Sta No. 15 of 1995, to maintain the financial stability of the Sri Lankan economical circle. The Sri Lanka Accounting and Auditing Standards Act No. 15 of 1995 could be highlighted since it statutory document, which maintains the stands of business enterprises equally in the country parallel of Institute of Chartered Accountants of Sri Lanka. The area of this study is in the category of accounting and finance, which will be limited to the Accounting and Auditing Standard Act No. 15 of 1995. This study expects to discuss and analyze th incidents in relation to the prevailing national law on accounting and auditing standards. Further, it w the loopholes and set out a number of recommendations to strengthen the prevailing laws associated wi enterprises in Sri Lanka. The Sri Lankan economic circle has been spread out in a wide area; due to that reason, this study wil to the category of business enterprises to maintain the quality of the research. Further, attention would specifically to the Auditing Standard Committee, Accounting and Auditing Monitoring Board, Minis towards the Auditing Standard Committee, offences and punishments. The key problem which is sought to be addressed in this research is “Does the time up to make amendm Sri Lanka Accounting and Auditing Standards Act, No 15 of 1995?”