Financial Accountant Journal-March-2014

.
ISSN 2226-0765
Financial Accountant Journal
(March 2014 Edition)
The Society of Accounting Education
(Registered under Societies Registration Act 1860- Section XXI)
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Inside
PARTICULARS
PAGE
NO.
Best Source of Guidance
‣ Perfection of Soul & Nobility
The Prophet Muhammad (PBUH)
Messages
‣ From the President 3
‣ From the Chief Editor 3
Articles & Research Work
‣ Assessing Tax Gaps by Sector Analyses
4
GDP Vs. Tax Revenue Contribution in
Pakistan
‣ Summarising Financial Data into Short Set of 8
Key Relationships Using Cash Flow Ratio
Analysis
‣ Errors and Omission usually made in the
15
Public Sector
‣ Five Reasons for Unemployed 18
Success Story
‣ Mr. Mughis Khan-ACFAc 20
Events, News Updates & Others
‣ SOAE News & Events 21
‣ SOAE-Affiliation/Recognitions 23
‣ SOAE-National Coordinators` Team 25
‣ SOAE-International Coordinators` Team 28
1

Perfection of Soul & Nobility
The Prophet Muhammad (PBUH)
1
The Prophet, may Allah’s peace and blessings be
upon him, was noted for superb eloquence and
fluency in Arabic. He was remarkable in position
and rank. He was an accurate, unpretending
straight forward speaker. He was well-versed in
Arabic and quite familiar with the dialects and
accents of every tribe. He spoke with his guests
using their own accents and dialects. He
mastered and was quite eloquent at both
Bedouin and town speech. So, he had the
strength and eloquence of Bedouin language as
well as the clarity and the decorated splendid
speech of the town's people. Above all, there was
the help of Allah embodied in the revealed
Verses of the Qur'an.
His stamina, endurance and forgiveness, while
he was in a commanding position; his patience
and firmness in unfavourable conditions, were
all talents, attributes and qualities Allah Himself
had given him. Even wise men
have their shortcomings, but
Allah's Messenger, may Allah’s
peace and blessings be upon
him, unlike everybody, the
more he was hurt or injured,
the more gentle and patient he
became. The more rudeness
and ignorance anybody
exercised against him, the
more enduring he became.
His courage, his bravery and his might were
distinct. He was the most courageous. He
witnessed awkward and difficult times and
stood fast at them. More than once, brave and
daring men fled; yet he stood with full
composure facing the enemy without turning his
back. All brave men must have experienced
fleeing once or have been driven off the
battlefield at a time, except the Prophet, may
Allah’s peace and blessings be upon him.
'Ali, may Allah be pleased with him, said:
“Whenever the fight grew fierce and the eyes of
fighters went red, we used to resort to the
Prophet for help. He was always the closest to
fighters went red, we used to resort to the
Prophet for help. He was always the closest to
the enemy.” (Ash-Shifa' 1/89)
He was the most modest, and the first one to cast
his eyes down.
Abu Sa'id Al-Khudri, may Allah be pleased with
him, said: “He was shier than a virgin. When he
disliked something, we could read it on his face. 5
He did not stare at anybody's face. He would
always cast his eyes down. He would look at the
ground more than the sky. The most he would
look at someone was by glancing. He was
willingly and modestly obeyed by everybody. He
would never name a person whom he had heard
ill-news about something he hated, instead he
would say: 'Why do certain people do so....”
(Sahih Al-Bukhari 1/504.)
He was the most modest
person and far from being
arrogant or proud. He forbade
people to stand up for him as
other people usually did for
their kings. Visiting the poor,
the needy and entertaining
them were some of his habits.
If a slave invited him, he
would accept the invitation.
He always sat among his
friends as if he were an ordinary person among
them. 'Aishah, may Allah be pleased with her, said
that he himself used to repair his shoes, sew or
mend his dress and do what ordinary men did in
their houses. He used to check his own clothing.
Milking the sheep and catering for himself were
some of his normal jobs.( ibid 2/52)
The Prophet, may Allah’s peace and blessings be
upon him, was the most truthful to his pledges,
and it was one of his qualities to establish good
and steady relationship with his relatives. He
was the most merciful, gentle and sociable of all
people. His way of living was the simplest one.

Perfection of Soul & Nobility
The Prophet Muhammad (PBUH)
2
The Prophet, may Allah’s peace and blessings be
upon him, was the most truthful to his pledges,
and it was one of his qualities to establish good
and steady relationship with his relatives. He
was the most merciful, gentle and sociable of all
people. His way of living was the simplest one.
Once, he was travelling with his Companions and
when it was time to have food prepared, he
asked them to slaughter a sheep. A man said; “I
will slaughter it,” another said: “I will skin it out,”
a third one said: “I will cook it.” So, Allah's
Messenger, may Allah’s peace and blessings be
upon him, said: “I will collect wood for fire.” They
said: “No”. We will do that work,” “I know that
you can do it for me, but I hate to be privileged.
Allah hates to see a servant of His privileged to
others.” So, he went and collected firewood.
(Khulasatus-Siyar p, 22)
He was always in full control of his temper and
he never seemed angry unless it was necessary.
He never got angry for himself nor did he avenge
for himself. It was for Allah's sanctity and
religion that he would be angry.
Whenever, he pointed at a thing, he would do so
with his hand, and he would turn it round to
show surprise. If he were angry, he would turn
both his body and face aside. When he was
pleased, he cast his eyes down. His laughter was
mostly smiling. It was then that his teeth were
revealed like hailstones.
He visited friends and inquired about people's
affairs. He confirmed what was right, and
criticized the unpleasant, and tried to undermine
it. He was moderate in all affairs. He deemed
himself equal to others and was not privileged.
He would never act carelessly, lest others should
get neglectful. Each situation was dealt with in
its proper due. Righteousness was his objective;
he was never short of it or indifferent to it.
People who sat next to him were the best of their
people and the best of them all were, for him,
those who were most caring. For him, the
greatest ones and the highest in rank were the
best at providing comfort, cooperation and help.
Remembrance of Allah was important to him
and he did so whenever he sat down or stood up.
No certain place was assigned for him to sit in.
He would sit at the end of the group, next to the
last person. He ordered people to do the same.
He entertained his participants in social
gatherings alike so that the one addressed would
think that there was no one honoured by the
Prophet but himself. Whoever sat next to him or
interrupted him in order to ask for his advice
about an affair of his, would be the first to start
the talk and the one to end it, The Prophet, may
Allah’s peace and blessings be upon him, would
listen to him patiently until he ended his speech.
He never denied a request to anyone, if
unapproachable, then a few gratifying words
would work instead.
His generosity of spirit, broad mindedness, and
tolerance could embrace all people and entitled
him to be regarded as a father to them all. In
justice, all of them were almost equal. Nobody
was better than another except on the basis of
piety. A favoured one, to him, was the one who
feared Allah most. His assembly was a meeting of
kindness, modesty, patience and honesty; voices
were not raised there nor cries, and inviolable
things were never considered to be violable
there. Fearing Allah and worship were their
means to sympathy and compassion. They used
to revere the old and have mercy on the young.
They helped the needy and entertained
strangers.
On the whole the Prophet, may Allah’s peace and
blessings be upon him, was ornamented with
peerless attributes of perfection. Indeed, he was
brought up, educated and taught by Allah. He
was even praised by Allah: “And verily, you (O
Muhammad) are on an exalted standard of
character.” [Qur’an 68:4]
This description is in fact no more than a quick
glance at the Beloved Prophet's perfection. No
one can ever claim to be possessed of full
knowledge or complete mastery of the great
attributes of the greatest man in this universe.

3
MESSAGE FROM PRESIDENT
By the grace of Almighty Allah SOAE is achieving the established goals day by day.
The coordination with students, members, partners and affiliated bodies have made
it possible to deliver the international level education in Pakistan. Well organized
and industry demanded CPD programs of SOAE have been carried out to ensure the
continuous enhancement of skills of the members and students.
Free of Cost of participation in SOAE CPD Program has made it easy for students and members to
attend the program and get well versed with new skills.
Society has developed linkages locally and in Gulf Market, and members are getting very attractive
jobs in UAE. We are working parallel with good planning to send our members in Hong Kong to
capture / avail job opportunities specially available to the finance professionals.
SOAE Committed to Knowledge Sharing by using emails to the members and social media.
Executive Council, Management and Panel of Experts of SOAE our committed for professional
development and carrier growth of members and students.
Dr. Ansar Ali Noor
President
MESSAGE FROM CHIEF EDITOR
Welcome to the March 2014 Edition of Financial Accountant Journal, it gives me the
great pleasure to place on the record the remarkable contribution of the members
for this Edition. I am thankful to all members and students for their articles and
research work.
The articles included in this edition will enrich your skills for research work and evaluation for
selection of best investment opportunities.
Your comments and feedback may guide us for further improvement of our Journal. Please let us
have your feedback.
Iftikhar Ali
Chief Editor

Assessing Tax Gaps by Sector Analyses
GDP Vs. Tax Revenue Contribution in Pakistan
4
By : Christian Lorenz - FCFAc
Introduction
The Pakistani tax system is
characterised by heterogeneous
levels of tax burden between
industrial sectors.
For example some sectors are fully exempted
from sales tax (like agricultural sectors) 1 while
others contribute a higher share of revenues
than their share in GDP is (POL and
telecommunication). Aiming at a just, fair and
equitable tax system requires knowledge on the
contributors to tax revenues and their individual
burden. So far no analysis of sector contributions
and loopholes within certain sectors are
available with the relevant decision makers. This
analysis is necessary to review not only
exemptions and tax rates, but also to identify
commonly applicable standard shares for
operating businesses within a sector.
Table 1: GDP and sales tax revenue contributions
This study is to be seen in addition to several
individual sector studies as a summarising
sector analysis to provide an overview of
importance of the sectors, where GDP shares will
be compared with revenue contributions to
assess the relative levels of contribution
compared to other sectors.
GDP and Sales Tax Data
Relevant data are GDP contribution shares and
tax revenue contribution shares. GDP
information is taken from Economic Survey 1 and
sectorwise revenue information is taken from
Fiscal Policy Statement 1 . The following table
gives an overview of GDP and revenue
contributions of those sectors, which are
comparable:
Sector
GDP Share
2009-10
Sectorwise
GDP
Growths
2009-10
Sales Tax
Share
2009-10
Discrepancy
Agriculture 21.2% 0.6% 0.0% -21.2%
Mining 2.5% -1.5% ?
Manufacturing 18.6% 5.5% 58.5% 39.9%
Construction 2.6% 16.3% ?
Electricity & gas 2.8% 6.2% 10.4% 7.6%
Services 52.4% 2.6% 19.3% -33.1%
Total 100.1% 88.1% -12.0%
Source: Author’s calculations based on data from MOF, economic survey and fiscal policy statement 1 .
This study aims at contributing to identify the
relative contributions of sectors compared to
their share in GDP. Its results allow identifying
loopholes in an inter-sector wise comparison
and finetune audit activities or legal adjustments
in this regard. The sectors to be analysed depend
their relative importance measured in GDP
contribution.
The agriculture sector is excluded from tax
contributions even though is contributes about
21% of the GDP. Manufacturing bears the main
tax burden of about 59% with a comparatively
low share of GDP of 19%. Electricity and gas
contribute about 10% sales tax revenue with a
GDP share 3%. Services sector only contribute

Assessing Tax Gaps by Sector Analyses
GDP Vs. Tax Revenue Contribution in Pakistan
5
By : Christian Lorenz - FCFAc
19% 1 tax revenues with a GDP share of 52% 1 . 1
In addition to the above outlined macro
approach with sectorwise aggregated figures, an
analysis could also be carried out in a micro
approach with the individually disaggregated
business information on turnover, profit and
taxes paid taken from the CMI 1 and the taxpayer
register available with PRAL/FBR. Streamlining
these two databases with regard to efficiency,
redundancy and controlling might make sense
for the MOF anyhow. 1
Agricultural sector
The agricultural sector in Pakistan is
subclassified in crops, livestock, fishing and
forestry. Their relative importance is shown in
the next table:
Table 2: Agricultural sector in Pakistan
Share of Share of
Sector
GDP Agriculture
Agriculture 21.2 100.0%
Major Crops 6.9 32.5%
Minor Crops 2.2 10.4%
Livestock 11.4 53.8%
Fishing 0.4 1.9%
Forestry 0.3 1.4%
Source: Author’s calculations based on data from
MOF, economic survey, 2009-10.
Livestock makes more than half of the
agricultural production, major crops one third
and minor crops about 10%. Fishing and
forestry contribute only marginally. Most of the
products in these categories are legally
exempted from paying sales tax. The exemptions
are based on the sales tax act, statutory sectoral
exemptions and a multitude of statutory
regulatory orders (SROs).
These exemptions not only include most
agricultural products like fruits, vegetables,
animals, animal meat, eggs, milk, plants etc., but
also input factors for agricultural production like
seeds and fruits for sowing, poultry feed,
agricultural machinery, tractors, fertilizer,
pesticides etc.
The low contribution of the agricultural sector to
sales tax revenues is therefore not a result of tax
evasion, but of legal exemptions of the related
products. The same holds incidentally for
agricultural income tax and de facto also land
taxes in most provinces and districts. The
agricultural income tax is the most spectacular
example of a privileged elite’s refusal to pay
taxes. Agriculture accounts for around 21% of
GDP and employs about 40% of the labour force
but yields little more than 1% of total revenues.
Manufacturing sectors
With 59% manufacturing is the most important
contributor to sales tax revenues. Therefore the
related subsectors will be analysed in further
1. Centre for Applied Economic Research, University of Muenster, Germany, christian.lorenz@gmx.ch. Opinions and points of
view expressed in this article are those of the authors and do not necessarily reflect any official position or policy.
2. On the taxation of agricultural incomes see http://www.pildat.org/publications/publication/EcoFinance/BP42-
TaxingtheAgricultureIncomeInPakistan.pdf
3. MOF, Economic Survey, chapter growths, table 1.5, sectoral share in GDP,
http://www.finance.gov.pk/survey/chapter_12/01-GrowthAndStabilization.pdf.
4. MOF, Fiscal Policy Statement, table 10, domestic sales tax collection,
http://www.finance.gov.pk/publications/FiscalPolicyStatement_2010_11.pdf.
5. The contributions from mining and construction sectors are not given in this publication.
6. About 87% of services sales tax is paid by the telecommunication sector.
7. Whole and retail trade have a share of 17% and transport of about 10% of all services.
8. Sales tax on services is collected since July 2011 in Sindh and since July 2012 in Punjab (the by far two most important
provinces by revenue collection) by provincial revenue authorities.

Assessing Tax Gaps by Sector Analyses
GDP Vs. Tax Revenue Contribution in Pakistan
6
By: Christian Lorenz - FCFAc
Table 3: Manufacturing sector in Pakistan
Sector
Share of
Manufacturing
GDP
Revenue Share
within
Manufacturing
Difference
Manufacturing 18.6% 100.0% 0.0%
Petroleum, Oil & Lubricants (POL) 5.3% 72.2% 66.8%
Sugar 4.2% 10.8% 6.5%
Cigarettes 2.2% 7.0% 4.7%
Cement 5.8% 4.4% -1.4%
Beverages 1.0% 3.2% 2.2%
Tea 0.4% 2.5% 2.2%
Source: Author’s calculations based on data from MOF, economic survey 2009-10 and FBS, CMI 2005-6.
detail here and additionally in separate
sectorwise analyses.
he GDP figure for POL is based only on the GDP
share of petroleum, since oil and lubricants are
not given in the census of manufacturing
industries 2005-6. Therefore the revenue share
is with 72% much higher than the GDP
contribution of 5%. The sugar, tobacco,
beverages and tea sectors pay relatively more
tax compared to their GDP share. The cement
sector pays slightly less. 1
Services sectors
The service sector, which contributes the largest
share to GDP with about 52% contributes just
19% to revenue. Of over a million taxable retail
outlets only about 160,000 are registered. Of
these less than 28,000 (17.5%) paid tax in 2011.
This means that over 80% of the formal
economy is untaxed, lightly taxed or noncompliant.
If the informal, undocumented
economy is factored in, an even larger swath of
the economy is outside the tax net. Here the
system of presumptive income taxes could offer
a solution to these low contribution shares. 1
Conclusions
Unfair taxation systems are often the reason
behind low revenue collection and poor
compliance. Relatively high rates of taxes are
imposed on a narrow band of people or a few
sectors only. If contribution to GDP acts as
measure for the assessment of the sufficient
level of tax revenues from a single sector, then
the agricultural sector as well as several service
sectors like transport, storage, wholesale, retail,
finance & insurance, dwellings, public
administration and defence, public services and
cement for some reasons don’t contribute
sufficiently.
Since agricultural sectors for political reasons
are exempted and sales tax on services since July
2011 in Sindh and since July 2012 in Punjab (the
two most important provinces by revenue
collection) is collected by provincial revenue
authorities, future analyses will focus on
different subcategories of the manufacturing
sector (e.g. cement, sugar).

Assessing Tax Gaps by Sector Analyses
GDP Vs. Tax Revenue Contribution in Pakistan
7
By: Christian Lorenz - FCFAc
9. Census of manufacturing industries published by PBS of the MOF (Pakistan ministry of finance).
10. The income tax gap could be analysed in a similar approached by comparing the number of households above the
income threshold of formal income given in the HIES produced by PBS compared with the number of persons filing
returns in the taxpayer register of PRAL. Estimates show that only less than 1% of the population are registered
taxpayers out of which only 17% of the 4.5m potential taxpayers file returns at all. See Lodhi, taxing issues, 2012,
http://www.thenews.com.pk/Todays-News-9-151759-Taxing-issues.
11. Figures on sales tax paid are also available from official statistics, where most figures differ only slightly, but for cement
the paid taxes are overstated (about double).
12. See Najeeb Memon, presumptive income tax for small businesses, 2009,
http://unsworks.unsw.edu.au/fapi/datastream/unsworks:10084/SOURCE01.

Summarising Financial Data into Short Set of Key
Relationships Using Cash Flow Ratio Analysis
8
By : Zeeshan Hamid - ACFAc
Introduction
Cash flow ratio is more reliable
indicator of liquidity than
balance sheet or income
statement ratios, such as; the
quick ratio or the current ratio.
Lender’s rating agencies and Wall Street analysis
have long used cash flow ratios to evaluate risks,
but auditors have been slow to use them. Some
cash flow ratios compare the resources a
company can muster with its short-term
commitments. Other cash flow ratios measure a
company’s ability to meet ongoing financial and
operational commitments. There is no consensus
on the definition of net free cash flow, although
the authors suggest taking off balance sheet
financing into the account. Auditors can use the
insights uncovered by cash flow ratios to
spotlight potential problem areas, thus helping
them plan their audits more effectively.
Cash flow ratio is also known as; cash flow
forecasting, and cash flow projection. It is the
cycle of cash inflows and cash outflows that
determine business solvency. It is an important
tool, which letting you know, when your
expenditures are too high or when you might
want to arrange short term investments to deal
with a cash flow surplus. It involves the
components of your business that effect cash
flow, such as account receivable, inventory, and
accounts payable. Through a cash flow analysis
you will be able to more easily identify cash flow
problems and find ways to improve your cash
flow. Cash flow ratio analysis is very helpful for
all stakeholders’, investors, creditors, and
management to evaluate a company. It provides
the firm’s conditions and performances.
This is an important analysis, which covers all
corporate finance and financial meetings as well.
Thus, it shows the health of a company. One of
the safest means to safe money is banking sector,
which is providing services to its customers.
This sector lends money to businessmen and
provides various kinds of loans. However, through
this analysis it would be easy for management and
investor to have an idea about the bank position. The
analysis of three banks here will provide an easy
choice to external stakeholders as well.
Banking Sector of Pakistan
A bank is a financial institution and a financial
intermediary that accepts deposits and channels
those deposits into lending activities, either directly
or through capital markets. Banking is generally
highly regulated industry. Banks play a vital role in
the economy, and are considered as the backbone of
an economy all over the world, as well as in Pakistan.
The banking sector plays a significant role in flow of
money and economy.
A bank is an institution, which can generate revenue
in a variety of different ways including interest,
transaction fees, and financial advice. The main
method of generating revenue is via charging interest
on the capital it lends out to customers. Some
economic functions of banks are issue of money,
money creation, maturity transformation, credit
quality improvement, and credit intermediation.
Pakistan’s oldest bank is the State Bank of Pakistan,
which is also the Central Bank of Pakistan. The
country started without any proper banking network
in 1947; however, in few decades banking sector
working effectively. Pakistani banking sector has
remained remarkably strong and resilient during the
world financial crises 2008-09. Stress test conducted
on June 2008 data indicates that large banks are
relatively robust. Today, the banking sector is
providing financial solutions to the masses and is
growing and becoming a solid partner in the
development of the Pakistani economy, this growth
potential has seen different acquisitions in the
banking sector.
Objective of this Study
It is business life’s blood and every manager’s main
task is to use cash flow to generate profits. If a
business is operating profitably, then it should,
generate cash surplus. If it will not generate cash
surplus it will eventually run out and expire.

Summarising Financial Data into Short Set of Key
Relationships Using Cash Flow Ratio Analysis
9
By : Zeeshan Hamid - ACFAc
The objective of this paper is to provide the
financial position of three banks, information
about cash receipts, cash payments, and the net
change in cash resulting from investing,
operating, and financing activities of banks
during three fiscal years. We will compare three
banks through cash flow analysis to find out
their strengths, and weaknesses. In addition,
cash flow statements of banks will show how
well the banks have planned and managed all
their expenditures and collations.
Ratio analysis will provide a feasibility report of
three banks, which will help to stakeholders to
take their decisions. The analysis will also help
to borrowers to make assessments.
Significance of the Research
Cash flow has significant importance in a
business. Cash flow as defined above is the
inflow and outflow of cash through the
organization over time. Cash flow is also the
fundamental source of intrinsic value for the
firm or for any other type of financial
investment.
It summarizes data into short set of key
relationships that highlight operations and the
results of a company’s cash management
practices. This paper will provide us a complete
picture of two Pakistani top banks with a
relatively new and emerging bank. Thus, it will
provide us the information of all areas of banks
where they need to work onto achieve their
goals. In addition, this paper will provide the
information to investors to find out in which
bank they should invest.
Methodology
Source of data collection: We have chosen three
banks of Pakistan for analysis: Muslim
Commercial Bank, Soneri Bank Limited and
United Bank Limited. For analysis we required
annual reports, which we collected online
through different web sites.
Data collected from: Muslim Commercial Bank,
Soneri Bank, United Bank Limited, and Karachi
Stock Exchange websites.
Data Processing and Analysis Tools: To get a
better view of the firm’s financial health cash
flow ratios always help to an analyst to check
and evaluate the data. MS Excel is used to
process and analyse the data, and MS Power
Point is used to present the analysed data.
Results and Discussion
Cash Flow Ratio Analysis: Cash flow ratio
provides information about the company’s
inflows, outflows, availability, and managing of
the business liquid resources (cash and cash
equivalents). In this paper we have calculated
some cash flow ratio’s of three banks, which are
popular in banking sector.
Trend Analysis: We are selecting the base year,
and the given values of next year are used as a
percentage of the base year value.
The cash flow ratio also provides the insight into
how effective the management team is using
available resources of company. It provides the
company’s financial position in both short and
long run. Therefore, the ratios are very useful for
stakeholders.

Summarising Financial Data into Short Set of Key
Relationships Using Cash Flow Ratio Analysis
10
By : Zeeshan Hamid - ACFAc
1. Operating Cash Flow Ratio
Formula:
Cash Flow from Operations
Current Liabilities
Operating Cash Flow Ratio
Bank Name Fiscal Year 2008 Fiscal Year 2009 Fiscal Year 2010
United Bank Limited
MCB Bank Limited
Soneri Bank Limited
Rs. In '000 Rs. In '000 Rs. In '000
1,025,033 / 211,197,025 = 0.005 26,774,872 / 209,689,615 = 100,070,348 / 246,623,634 =
Times
0.128 Times
0.406 Times
2,115,561 / 158,184,511 = 0.013 78,148,082 / 193,678,777 = 58,701,161 / 199,356,413 =
Times
0.403 Times
0.294 Times
(4,500,148) / 72,665,887 = 13,892,687 / 86,309,231 = 5,497,142 / 97,990,645 = 0.0561
(0.0619) Times
0.1610 Times
Times
Bank Name
United Bank
Limited
Bank Name
MCB Bank
Limited
Bank Name
Soneri Bank
Limited
Calculation of Current Liabilities (UBL)
Bills
Tax
Other
Total Current
FY
+ Deposits + Borrowings +
+
=
Payable
Liability Liability
Liabilities
2008 5,210,870 + 150,104,024 + 38,794,690 + 0 + 17,087,441 = 211,197,025
2009 5,166,361 + 157,104,024 + 32,444,174 + 0 + 14,975,056 = 209,689,615
2010 5,045,815 + 184,100,896 + 39,889,188 + 0 + 17,587,735 = 246,623,634
Calculation of Current Liabilities (MCB)
Bills
Tax
Other
Total Current
FY
+ Deposits + Borrowings +
+
=
Payable
Liability Liability
Liabilities
2008 10,551,468 + 105,376,753 + 20,563,089 + 440,259 + 21,252,942 = 158,184,511
2009 8,201,090 + 123,898,324 + 42,563,538 + 3,196,743 + 15,819,082 = 193,678,777
2010 10,265,537 + 144,545,488 + 23,519,051 + 4,934,018 + 16,092,319 = 199,356,413
Calculation of Current Liabilities (Soneri Bank Limited)
Bills
Tax
Other
Total Current
FY
+ Deposits + Borrowings +
+
=
Payable
Liability Liability
Liabilities
2008 1,254,496 + 61,634,491 + 8,441,454 + 0 + 1,335,446 = 72,665,887
2009 1,763,401 + 9,385,522 + 73,548,226 + 0 + 1,612,082 = 86,309,231
2010 1,857,810 + 12,370,528 + 82,016,811 + 0 + 1,745,496 = 97,990,645
United Bank Limited generated its operational cash flow ratio 0.005times in 2008, which was a very small rate. It increases its
operating cash flow in 2009 from 0.005times to 0.128times. In 2009 current liabilities were almost unchanged with a little difference;
however, the operating cash flow had the main affect on the ratio. In 2010 we can see the current liabilities of bank increases as
compare to previous year, hence, we can see the major increase in operating cash flows, due to which there was an increase in the
operating cash flows of bank and operating cash flow ratio increase from 0.128times to 0.406times.
MCB Bank Limited in 2008 had an operating cash flow ratio of 0.013times, however, as compare to other two banks it was a little
better. In 2009 it increases from 0.013times to 0.403times, which shows a major change in banks operational activities as we can see
there was a little change in current liabilities, hence, it was a major change in operational activities. Due to which we can see an
increase in operational cash flow ratio of the bank. In 2010 current liabilities of the bank were almost unchanged; however, a clear
change in operating cash flow has affected the ratio and decreased it from 0.403times to 0.294.
Soneri Bank Limited in 2008 generate a negative operating cash flow ratio of (0.0619) times, because of increase in current liabilities
in order to expand their business in the market. The change has come in 2009 and it was the best ever cash inflows of Soneri bank over
liabilities, which was 0.161times. However, next year in 2010 we can see the bank has decrease in its operational cash flow ratios with
a little increase in their current liabilities due to which its Operating cash flow decrease from 0.161times to 0.0561times.

Summarising Financial Data into Short Set of Key
Relationships Using Cash Flow Ratio Analysis
11
By : Zeeshan Hamid - ACFAc
2. Price/Cash Flow Ratio
Formula:
Stock Price per Share
Operating Cash Flow per share
Where Operating Cash Flow per Share =
Operating Cash Flow – Preferred Dividend
Common Shares Outstanding
Bank Name Fiscal Year 2008 Fiscal Year 2009 Fiscal Year 2010
Rs. In '000 Rs. In '000 Rs. In '000
United Bank Limited 10 / 0.001 = 10,000 10 / 0.024 = 417 61.88 / 0.082 = 755
MCB Bank Limited 10 / 0.003 = 3333 10 / 0.113 = 88 201.82 / 0.077 = 2621
Soneri Bank Limited 11.09 / (0.0076) = (1459) 11.95 / 0.0279 = 428 15 / 0.0138 = 1087
Bank Name
United Bank
Limited
Bank Name
MCB Bank
Limited
Bank Name
Soneri Bank
Limited
FY
Operating Cash
Flow -
Calculations of Cash Flow per Share (UBL)
Preferred
Dividends /
Common Share
Outstanding = Cash Flow Per Share
2008 1,025,033 - 0 / 1,011,718,750 = 0.00101316
2009 26,774,872 - 0 / 1,112,890,625 = 0.024058853
2010 100070348 - 0 / 1224179687 = 0.08174482
FY
Operating Cash
Flow -
Calculations of Cash Flow per Share (MCB)
Preferred
Dividends /
Common Share
Outstanding = Cash Flow Per Share
2008 2,115,561 - 0 / 628,276,843 = 0.003367243
2009 78,148,082 - 0 / 691,104,527 = 0.11307708
2010 58701161 - 0 / 760214980 = 0.077216528
FY
Operating Cash
Flow -
Calculations of Cash Flow per Share (Soneri Bank Limited)
Preferred
Dividends /
Common Share
Outstanding = Cash Flow Per Share
2008 -4,500,148 - 0 / 588,577,789 = -0.0076458
2009 13,892,687 - 0 / 498,064,889 = 0.027893327
2010 5497142 - 0 / 397677870 = 0.013823103
United Bank Limited has higher cash inflows in 2008, because of god stock price of per share over less operating cash flow
per share. This gives highest cash inflows to bank in 2008. In 2009 and 2010 due to operating cash flow per share bank lose its
position. However, in 2010 bank position was relatively better than 2009.
MCB Bank Limited share value in 2008 and 2009 was same but the change was due to operating cash flow per share. We can
see the position of bank in 2008 was better but in 2009 we can see a decrease. In 2010 we can see the position of bank was
relatively better than 2009.
Soneri Bank Limited in 2008 was in very weak position since the cash inflows superseded by cash out flows. In 2009 bank
managed its cash flows but there was not much change, however, we can see a change in 2010. In 2010 bank’s cash inflows
were relatively better than previous year.

Summarising Financial Data into Short Set of Key
Relationships Using Cash Flow Ratio Analysis
12
By : Zeeshan Hamid - ACFAc
3. Cash Dividend Coverage Ratio
Formula:
Operating Cash Flow
Dividend
Bank Name Fiscal Year 2008 Fiscal Year 2009 Fiscal Year 2010
United Bank Limited
MCB Bank Limited
Rs. In '000 Rs. In '000 Rs. In '000
1,025,033 /3,945,703 = 26,774,872 / 1,094,748 = 100,070,348 / 4,006,407
0.26
24.46
= 24.98
2,115,561 / 9,834,175 = 78,148,082 / 6,735,510 = 58,701,161 / 8,567,547 =
0.22
11.60
6.85
Soneri Bank Limited (4,500,148) / 0 = 0 13,892,687 / 0 = 0 5497142 / 0 = 0
United Bank Limited in 2008 has very low ratio. However, in 2009 it significantly increased as compared to 2008 and was
almost same in 2010 with a slightest increase from 24.46 to 24.98. In 2010 the change in Operating cash flow was not the only
change but there was a change in dividends as well, which was almost in the same proportion.
MCB Bank Limited improved their ratios in 2009 as compared to 2008. In 2009 the change came due to increased in
Operating cash flows of bank, which increased the ratios of the bank positively. However, we can see from analysis that in 2010
there was a downfall in bank’s cash flows due to decreased in operating cash flow of bank.
Soneri Bank Limited position was very weak as we can see bank could not manage to pay dividend to its shareholders
throughout 3 years. In 2008 its cash inflows had been superseded by cash outflows. In 2009 bank managed its cash flow and
was a slightest increase in share price, however, as compare to past two years in 2010 there was an increase in share price of
the bank, which was comparatively good.
4. Cash Flow Solvency Ratio
Formula:
Cash Flow from Operations
Total Liabilities
Bank Name Fiscal Year 2008 Fiscal Year 2009 Fiscal Year 2010
United Bank Limited
MCB Bank Limited
Soneri Bank Limited
Rs. In '000 Rs. In '000 Rs. In '000
1,025,033 / 571,311,725 26,774,872 / 573,131,166 100,070,348 /
= 0.002
= 0.047
630,369,914 = 0.159
2,115,561 / 385,153,625 78,148,082 / 439,483,714 58,701,161 / 488,348,404
= 0.005
= 0.178
= 0.120
(4,500,148) / 73,864,207 13,892,687 / 87,507,071 5,497,142 / 99,188,005 =
= (0.0609)
= 0.1588
0.0554
United Bank Limited in 2008 has very low ratio, which bank manage in 2009 and goes up with an increase from 0.002 to
0.047. However, in 2010 the ratio moved upwards, significant increased in the cash flow from operations was the reason of
increase in ratio.
MCB Bank Limited has very low ratio in 2008, which increased significantly in 2009. This year the change was in Cash flow
from operations and total liabilities of the bank as well, however, bank improved its ability to settle obligations. Thus, in 2010
we can see a decrease due to decline in Cash Flow from Operations and an increased in Total Liabilities.
Soneri Bank Limited ratio was negative in 2008 due to cash outflows more than cash inflows. However, in 2009 we can see
that the bank managed to maintain their cash flows, which shows a positive picture of bank. In 2009 bank shows its ability to
settle obligations. Unfortunately, the fiscal year 2010 was not in favour of bank and its cash flows goes down due to a decrease
in Cash Flow from Operations and an increase in Total Liabilities.

Summarising Financial Data into Short Set of Key
Relationships Using Cash Flow Ratio Analysis
13
By : Zeeshan Hamid - ACFAc
5. Cash Flow Margin Ratio
Formula:
Cash Flow from Operations
Net sales
Bank Name Fiscal Year 2008 Fiscal Year 2009 Fiscal Year 2010
United Bank Limited
MCB Bank Limited
Soneri Bank Limited
Rs. In '000 Rs. In '000 Rs. In '000
1,025,033 / 52,763,249 = 26,774,872 / 61,495,472 100,070,348 / 59,331,761
0.0194
= 0.435
= 1.687
2,115,561 / 40,043,824 = 78,148,082 / 51,616,007 58,701,161 / 54,821,296
0.053
= 1.514
= 1.071
(4,500,148) / 7,822,941 = 13,892,687 / 9,337,284 = 5,497,142 / 10,250,494 =
(0.5753)
1.4879
0.5363
United Bank Limited improved its margin ratio every year. We can see the bank has 0.0194 ratios in 2008 and there was an
increase in 2009 from 0.0194 to 0.435. Thus, in 2010 bank has significant increase in its ratio from 0.435 to 1.687 and was on
the top. The analysis shows that bank is in a very good position to convert its sales to cash. It was the highest operating cash
flow margin ratio in three years.
MCB Bank Limited improved its ratio in 2009 from 0.053 to 1.514 and it was a significant increase. Unfortunately, in 2010 due
to decrease in operating cash flow we can see downfall in margin ratio of bank.
Soneri Bank Limited in 2008 due to its promotional activities could not manage to generate its margin ratio and
unfortunately it was negative. However, in 2009 bank managed to generate its margin ratio. Next year, in 2010 the bank
increases its sales significantly but could not manage to increase its cash flow operations due to which we can see a decline in
its margin ratio.
6. Cash Flow Adequacy Ratio
Formula: ___________________________Cash Flow from Operations .__________________
Long Term Debt paid + Fixed Assets Purchased + Cash Dividend Distributed
Bank Name Fiscal Year 2008 Fiscal Year 2009 Fiscal Year 2010
Rs. In '000 Rs. In '000 Rs. In '000
United Bank Limited 1,025,033 / 7,133,949 = 0.144 26,774,872 / 2,694,456 = 9.937 100,070,348 / 6,274,089 = 15.95
MCB Bank Limited 2,115,561 / 12,473,995 = 0.17 78,148,082 / 8,629,496 = 9.056 58,701,161 / 8,824,772 = 6.652
Soneri Bank Limited (4,500,148) / 682,213 = (6.596) 13,892,687 / 613,142 = 22.658 5,497,142 / 631,449 = 8.706
Bank Name
United Bank Limited
Long Term Debt paid + Fixed Assets Purchased + Cash Dividend Distributed (UBL)
Long Term Debt
FY
paid + Investment in Fixed Assets + Cash Dividend = Total
2008 2,648 + 3,185,598 + 3,945,703 = 7,133,949
2009 4,048 + 1,595,660 + 1,094,748 = 2,694,456
2010 4,052 + 2,263,630 + 4,006,407 = 6,274,089

Summarising Financial Data into Short Set of Key
Relationships Using Cash Flow Ratio Analysis
14
By : Zeeshan Hamid - ACFAc
Long Term Debt paid + Fixed Assets Purchased + Cash Dividend Distributed (MCB)
Bank Name FY Long Term Debt paid + Investment in Fixed Assets + Cash Dividend = Total
MCB Bank Limited
2008 479,232 + 2,160,582 + 9,834,181 = 12,473,995
2009 0 + 1,893,986 + 6,735,510 = 8,629,496
2010 0 + 257,225 + 8,567,547 = 8,824,772
Long Term Debt paid + Fixed Assets Purchased + Cash Dividend Distributed (Soneri Bank Limited)
Bank Name FY Long Term Debt paid + Investment in Fixed Assets + Cash Dividend = Total
Soneri Bank Limited
2008 480 + 681,733 + 0 = 682,213
61
2009 480 + 612,662 + 0 = 3,142
2010 480 + 630,969 + 0 = 631,449
United Bank Limited has 0.144 ratios in 2008 which significantly increased in 2009 to 9.937 due to increase in cash flow from
operations and decrease in its expenses. However, in 2010 bank’s ratio goes up due to increase in its cash flow from operations
and there was an increase in its expenses as well.
MCB Bank Limited has a low ratio in 2008, which significantly increased in 2009 due to an increased in its cash flow from
operations. The bank was in good position to pay its expenses in 2009, which shows cash inflows and the ability to meet its
obligation. However, in 2010 a decrease in cash flow from operations leave an impact on its ratio and it falls down from 9.056
to 6.652. This year we saw a slightest increase in expenses as well.
Soneri Bank Limited in 2008 with negative ratio was out of the competition and did not paid cash dividend throughout 3
years. In 2009 bank generate cash flow from its operations and shows its ratio 22.658. This year bank shows its ability to pay
expenses and can meet its obligations. The reason of decline in its ratio in 2010 was the decrease in its cash flow from
operations and a slight increase in its expenses.
Conclusion
We came to the conclusion from analysis, that United Bank Limited and MCB Bank Limited are two Pakistani
leading banks. These banks established and started their operations in the early years of Pakistan. As compare
to these two banks Soneri Bank Limited is a new emerging bank and should raise their policies even this bank
did not pay dividend throughout three years. However, it has an aim to go beyond the limits and become one of
the largest banks in Pakistan.
We saw during analysis of cash flow that Operating Cash Flow Ratio is the most vital part of this analysis and
without which the analysis could not be done. We have seen that the banks were having positive ratios when
they generate cash flow from operations. We will take a short look on results of banks during three fiscal years.
In 2008 MCB generated good cash flow from operations, and UBL was in competition but could not generate
cash flow to compete MCB. The third bank due to investing and introducing new products in the market could
not manage to generate cash flow and it was in negative.
In 2009 it was the leading time for all three banks in which all three banks significantly increased their ratios.
MCB was on the top and other two banks UBL and Soneri Bank were in competition. Thus, we can see that this
year Soneri Bank significantly increased its cash flow from operations, which was negative last year.
In 2010 MCB could not manage to generate cash flows from operations and we can see a decline in its
operational activities, however, we can see a significant increase in UBL bank which jumped and becomes the
market leader this year. Unfortunately, this year was not really good for Soneri Bank limited as well due to
significant decrease in its ratio.

Errors and Omission usually made in the
Public Sector
By : Shabbir Ahmed Pasha - ACFAc
15
Financial statements furnish bits of
knowledge into an organization's
health and fiscal status for a specific
time period. Fiscal financial
statements are intended to furnish
information to the organization's
shareholders, incorporating potential
shareholders or speculators.
Consequently, these reports must
furnish correct and applicable
information to empower decision
making.
Relevant component of financial statements may
as well hold enough information to help moguls
in settling on key monetary decisions for the
business.
The International Accounting Standards Board
has made the International Financial Reporting
Standards (IFRS) to help achieve consistency in
the models of standardized financial reporting.
This additionally helps guarantee consistency in
the reports that are processed. The IFRS
illustrates how to state finance related
transactions inside a report, consequently
making for a more standard arrangement,
crosswise over reports. The guidelines built by
the IFRS make it simpler for financial statements
for be contemplated all around, without making
disarray because of diverse governs in
distinctive nations.
Notwithstanding set norms being followed in
making financial statements, there are still
mistakes that surface and that can bargain the
nature of a financial statement. These might be
identified with mistakes of oversight, or include
matters, for example, long haul obligation.
Mistakes can likewise happen when managing
data going with the financial statements.
Mistakes of exclusion/omission
Now and again, reporting of
expenses/cost may be deficient, for
instance, expenditures may be
represented however expenses
included in raising subsidizes and
incomes could get precluded in
reporting. This could apply to
occasions too, where overhead
expenses are not archived
legitimately or timesheets are not
administered.
Cash and cash equivalent
It is known that statement of financial
accounting standards no. 95 para 8 defines the
cash and cash equivalent for purposes of this
Statement, as short-term, highly liquid
investments that are both: Readily convertible to
known amounts of cash and so near their
maturity that they present insignificant risk of
changes in value because of changes in interest
rates. It continues while stating that generally,
only those investments with original maturities
of three months or less qualify under that
definition.
But the mistaken part found here that not all
investments that qualify are required to be
treated as cash equivalents. Because here
enterprise should establish a policy concerning
which short-term, highly liquid investments that
satisfy the definition of paragraph 8 may be
treated as cash equivalents. For example, as
statement of financial accounting standards no.
95 illustrated that an enterprise having banking
operations might decide that all investments
that qualify except for those purchased for its
trading account will be treated as cash
equivalents, while an enterprise whose
operations consist largely of investing in shortterm,
highly liquid investments might decide
that all those items will be treated as
investments rather than cash equivalents.

Errors and Omission usually made in the
Public Sector
By : Shabbir Ahmed Pasha - ACFAc
16
An enterprise shall disclose its policy for
determining which items are treated as cash
equivalents. Any change to that policy is a
change in accounting principle that shall be
effected by restating financial statements for
earlier years presented for comparative
purposes.
Data going hand in hand with report:
When furnishing data incorporating monetary
archives, mind must be taken to guarantee that
corresponding references are available in the
financial statements, also. Illustrations of going
with data can incorporate postings holding work
plans, accounts and liabilities.
Long term obligation disclosure:
Inappropriate statement of long term obligation
is a regular lapse found in the financial
statements. While the standard is that any long
term obligation or borrowings must be revealed,
slips might incorporate fragmented disclosure or
obligation portions completely precluded out of
human failure or through estimation botches.
Hence, inadequate disclosure may be made, or
revelations are not made whatsoever, bringing
about budgetary reporting failures.
Related party disclosure
When there is a trade of cash included, there is
related party disclosure that is relevant. In any
case, now and again, this may not be accounted
for properly. On occasion the sum or terms
accompanied by both gatherings may not be
accurately revealed. This can bring about an
error.
Who are related parties?
Para 9 of IAS 24 defines a related party is a
person or entity that is related to the entity that
is preparing its financial statements (referred to
as the 'reporting entity').
a) A person or a close member of that
person's family is related to a reporting
entity if that person:
i. has control or joint control over the
reporting entity;
ii. has significant influence over the
reporting entity; or
iii. is a member of the key management
personnel of the reporting entity or of a
parent of the reporting entity.
b) An entity is related to a reporting entity if
any of the following conditions applies:
i. The entity and the reporting entity are
members of the same group (which
means that each parent, subsidiary and
fellow subsidiary is related to the
others).
ii. One entity is an associate or joint
venture of the other entity (or an
associate or joint venture of a member
of a group of which the other entity is a
member).
iii. Both entities are joint ventures of the
same third party.
iv. One entity is a joint venture of a third
entity and the other entity is an
associate of the third entity.
v. The entity is a post-employment
defined benefit plan for the benefit of
employees of either the reporting entity
or an entity related to the reporting
entity. If the reporting entity is itself
such a plan, the sponsoring employers
are also related to the reporting entity.
vi. The entity is controlled or jointly
controlled by a person identified in (a).
vii. A person identified in (a)(i) has
significant influence over the entity or
is a member of the key management
personnel of the entity (or of a parent
of the entity).

Errors and Omission usually made in the
Public Sector
17
By : Shabbir Ahmed Pasha - ACFAc
viii.
The entity, or any member of a group
of which it is a part, provides key
management personnel services to
the reporting entity or to the parent of
the reporting entity (It is the
requirement added by Annual
Improvements to IFRSs 2010–2012
Cycle, effective for annual periods
beginning on or after 1 July 2014).
Para 11 of IAS 24 defines the following are
deemed not to be related:
a. two entities simply because they
have a director or key manager in
common
b. two venturers who share joint
control over a joint venture
c. providers of finance, trade unions,
public utilities, and departments and
agencies of a government that does
not control, jointly control or
significantly influence the reporting
entity, simply by virtue of their
normal dealings with an entity (even
though they may affect the freedom
of action of an entity or participate in
its decision-making process)
d. a single customer, supplier,
franchiser, distributor, or general
agent with whom an entity transacts
a significant volume of business
merely by virtue of the resulting
economic dependence
What are related party transactions?
As defined under para 9 of IAS 24 related party
transaction is a transfer of resources, services, or
obligations between related parties, regardless
of whether a price is charged.
Disclosure
As defined under para 16 of IAS 24 Relationships
between parents and subsidiaries. Regardless of
whether there have been transactions between a
parent and a subsidiary, an entity must disclose
the name of its parent and, if different, the
ultimate controlling party. If neither the entity's
parent nor the ultimate controlling party
produces financial statements available for
public use, the name of the next most senior
parent that does so must also be disclosed.
Management compensation.
As defined under para 17 of IAS 24 Disclose key
management personnel compensation in total
and for each of the following categories:
‣ short-term employee benefits
‣ post-employment benefits
‣ other long-term benefits
‣ termination benefits
‣ share-based payment benefits
‣ Key management personnel are those
persons having authority and responsibility
for planning, directing, and controlling the
activities of the entity, directly or indirectly,
including any directors (whether executive
or otherwise) of the entity. [IAS 24.9]
As defined under para 17A and 18 A of IAS 24 If
an entity obtains key management personnel
services from a management entity, the entity is
not required to disclose the compensation paid
or payable by the management entity to the
management entity’s employees or directors.
Instead the entity discloses the amounts
incurred by the entity for the provision of key
management personnel services that are
provided by the separate management entity
(This requirements were introduced by Annual
Improvements to IFRSs 2010–2012 Cycle, effective
for annual periods beginning on or after 1 July
2014).

Five Reasons for Unemployed
18
By : Bilal Ahmed
Employers love to complain that they just can’t
find good help these days, which you’re thinking
is pretty rich, since good help is staring them in
the face, but you still can’t get a job, right?
This is a not uncommon sentiment among job
seekers these days.
Hiring managers have to cull the herd somehow,
since going through piles of resumes can be
exhausting. And they do this by immediately
rejecting certain people. Typo in the resume?
That goes straight into the trash. The guy’s been
out of work for a year? Well, they’re not going to
be the one to hire him. Unfortunately for both
them and you, this knee-jerk rejection method
might be causing them to overlook the perfect
candidate – you.
Here are five totally unfair reasons you didn’t get
the job – and some tips to avoid getting rejected
for them in the future.
1- You’re unemployed: The bias against the
unemployed has gotten out of hand, with
almost half of employers saying in a recent
survey that they prefer job seekers who are
currently employed. The reality is that
nobody wants something that isn’t wanted
by someone else. It’s true that maybe there is
a good reason that someone is unemployed,
but it’s ridiculously unfair to leave people
lurching in a vicious cycle where they can’t
find a job because they don’t already have
one.
Avoid this happening to you by addressing the
issue. Explain in writing – in your cover letter or
resume – what you’ve been up to in the time
you’ve been out of work. Were you taking a
course? Working on a novel? Writing music?
Travelling? Studying something? Make it sound
productive (even if it wasn’t).
2- You don’t have five years of experience
in their industry: Hiring managers are
busy. They want someone who knows
their business. But they might wind up
waiting a long time for someone who fits
all their skills requirements and has five
years of experience in dietary supplement
marketing or construction apparel
product development.
Do some preliminary research into the industry,
then address the discrepancy in your cover letter
and outline how you plan to bring yourself up to
speed as quickly and efficiently as possible.
Demonstrate how matching skills in another
industry can be more than enough if a candidate
is willing to learn what they need to know.
3- There’s a typo in your resume or cover
letter: This comes up again and again,
whenever I poll hiring managers for
reasons they immediately dismiss
candidates. A typo supposedly indicates
that a person doesn’t pay attention to
detail. In reality, this isn’t necessarily true.
We all know what happens when you’re
sending out resumes and cover letters.
You spend hours modifying them for
specific jobs, going over them again and
again, and trying to see the impression
you’re making. Your eyes start to cross.
Finally, you hit send, and realize your
letter says, “I working in dietary
supplement marketing for five years…”
Dammit.
Unfortunately, the only way around this one is to
not have typos in your documents. Send them to
an eagle-eyed friend for editing before
submitting.

Five Reasons for Unemployed
19
By : Bilal Ahmed
4. You didn’t list a university
degree: Employers realize that if you
don’t list a degree there’s a pretty good
chance you don’t have one. If you have a
degree, list it. If you don’t, make sure your
work experience looks as fantastic as
possible, highlighting your results and
accomplishments. Demonstrate that you
are an outstanding candidate, and make
them forget about the degree entirely.
There was a time when a lot of information was
only available in a school or library setting. Now,
you can learn literally everything you need to
know online. Just because someone doesn’t have
a degree in something doesn’t mean they’re not
an expert. Demonstrate how much you know in
your cover letter (within a reasonable amount of
space and without getting off track). There are
going to be employers who will not hire you
without a degree. The only thing you can do
about them is go back to school and get one.
5. Your resume doesn’t exactly match the
job description: Employers ask a lot these
days in job descriptions, often demanding
skills and experience far beyond what should
be expected of any single person. Peter
Cappelli, author of Why Good People Can’t Get
Jobs, says in the WSJ, “For every story about
an employer who can’t find qualified
applicants, there’s a counterbalancing tale
about an employer with ridiculous hiring
requirements.”
Highlight all of the requirements that you do
have, and express a willingness to acquire as
many of those that you don’t as is reasonable.
Showing that you’ve read the description
thoroughly and are at least aware of all the
requirements might give you a leg up over those
who don’t mention them at all. It might also help
if software is looking for those keywords.
Remember that the job search isn’t about you,
but about showing a potential employer what
you can do for them.
“IF THERE IS NO
STRUGGLE THERE IS
NO PROGRESS.”
Fredrick Douglass

Success Story
Mr. Mughis Khan-ACFAc
20
Mr. Mughis Khan is
International Coordinator of
SOAE for USA. He is currently
working as Project Manager
Buying Exchange and IMS
Development
and
Implementation with ZT
Wealth / Altus HMS (Houston, TX) which is
fastest growing business ventures in the field of
Healthcare / Medical services.
Educational Qualification & Achievements:
He started his education from Jeddah, Saudi
Arabia and passed the Federal Board Of
Intermediate and Secondary Education exams
1994 scoring distinction and secured the TOP
position across the world (Countries with
Embassy School set ups).
He passed the Intermediate Exams from BISE
Lahore, with Punjab College Of commerce,
Securing 6 th Position in the BISE, 1996. Awarded
3 rd Best Academic performance by the Chairman,
Punjab Group OF Colleges.
He did the Bachelor Of Commerce, Punjab
College Of Commerce, Securing 15 th Position in
the University Overall.
He completed The Master Of Commerce (Fin.)
from Hailey College Of Commerce, University Of
The Punjab. He was University Scholarship
Holder based upon the Academic Performance.
My biggest achievement is the Memorization of
the Holy Quran, which gave me a totally different
vision of life and the way we should direct our
efforts towards the welfare of humanity.
Professional Academic Qualifications:
CFAc provides you a solid and comprehensive
base for the professional career startup. Gives
you a thorough understanding of the accounting
concepts and their application.
Reason for Joining SOAE
It is always better to be equipped with as much
professional knowledge and tools as possible.
CFAc provides a good opportunity to understand
and apply the skills which becomes a handy tool
for the professionals in the upcoming challenges.
Contribution for SOAE and its Programs in
USA
‣ Looking at the US related courses and
programs offered by the society, a good
development campaign can be run in the
local universities offering the students to
opt out from the available choices.
‣ Also, being a member of Pakistan
Chamber Of Commerce, Houston, the
efforts and the developments of the
society can be highlighted as well.
Message to the CFAc Students /
Members
Set the priorities right. In this age,
Knowledge and Information have
become the ultimate power. Gain the
knowledge, apply it in prevailing
circumstances, analyze the results, and
then ask the questions. Remember, No
question is a stupid question. This will
only give you more confidence. You
learn by asking questions and
understanding the reason. Do not be a
blind believer. Be proactive and look for
the best. Be the person who takes
initiative because, NO ONE WILL DO
FOR YOU WHAT YOU WILL DO FOR
YOURSELF.

SOAE News & Events
21
‣ SOAE Participation in SAARC Young Entrepreneurship conference held in Lahore, Pakistan.
Society has given these valuable CPD Programmes FREE OF COST to the members and dissemination
through presentation has been forwarded to all the members on their email addresses.
‣ Required Skills for a Professional Accountant
In this Seminar awareness of basic skills required for a professional accountant has been given to the
students so that they may plan to acquired the same during their study period.
‣ Orientation Seminar on Oracle E Business Suite
Seminar was conducted by the Mr. Mueen Iqbal Khan-ACFAc, USA Oracle Certified Consultant, he
has given the excellent presentation and participants got the in depth knowledge of Oracle E-
Business Suite Applications.

SOAE News & Events
22
‣ Seminar on Quick Books Pro 2014
Mr. Yasir Saeed-ACFAc has elaborated each and every feature of Quick Book Pro 2014 Accounting
Software, participant appreciated his presentation.
‣ Seminar on Sage Peach Tree Accounting Software
Mr. Iftikhar Ali-FCFAc, has facilitated this course in which he discussed about the need of accounting
software and given complete overview of the Sage Peach Tree Accounting Software. At the end
participant shared their views about the seminar and appreciated the efforts of the SOAE.
‣ Seminar on Hong Kong Immigration
SOAE keeping in view the job placement
opportunities for the CFAc Members in Hong
Kong, organized the Seminar on Hong Kong
Immigration, which is facilitated by the Mr.
Tahir Farooq-ACFAc.
‣ Seminar on Job Placement in UAE & Seminar
on Covey’s Seven Habits of Highly Effective
People
Both Seminars were facilitated by Mr. Kaleem
Aslam Janjua-ACFAc. He has shared very useful
information for Job seeking in UAE.
In his second seminar he explained the new
research of Dr. Covey regarding Seven Habits of
Highly Effective People.

SOAE – Affiliation/Recognition
23
The Society of Accounting Education (SOAE) has affiliations / recognitions with
the following foreign professional accounting and financial management bodies.
Pine Academy Group, International
Malaysia
Email: fred@pine-academy.edu.my
Website: http://www.pine.edu.my
The Institute of Certified Forensic Accountants
(ICFA-USA & Canada)
Email: info@forensicglobal.org
Website: http://www.forensicglobal.org
The Chartered Institute of Corporate Treasurers (CICT-USA)
Email: info@cictglobal.org
Website: http://www.cictglobal.org
Institute of Financial & Management Studies (IFMS-USA)
Email: info@ifms-us.org
Website: www.ifmsglobal.org
Institute of Management Specialists
(IMS-UK)
Email: info@instituteofmanagementspecialists.org.uk
Website: http://www.instituteofmanagementspecialists.org.uk
Chartered Institute of Professional Financial Managers
(CIPFM-USA)
Email: info@cipfmglobal.org
Website: http://www.cipfmglobalonline.org
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SOAE – Affiliation/Recognition
24
Purchasing & Procurement Center
C/o Kavaq Business Intelligence (M) Sdn Bhd
Selangor ,Malaysia
Email: info@purchasing-procurement-center.com
Website: www.purchasing-procurement-center.com
Newton Hills University of Science and Technology
8, Copthall, Roseau Valley, 00152, Commonwealth of Dominica
Email: info@newtonhillsuniversityedu.org
Website: www.newtonhillsuniversityedu.org
Pakistan Public Health Association
Health Services Academy Chak Shahzad Islamabad
Email: shahzad@hsa.edu.pk
Website: ppha.km4h.com
The Academy of Executives & Administrators
Warwick Corner, 42 Warwick Road, Kenil Worth Warwickshire
CV8, 1HE United Kingdom
Email: info@academyofexecutivesandadministrators.org.uk
Website: www.academyofexecutivesandadministrators.org.uk
Forensic CPA Society, Inc. - USA
P.O. Box 31060, Spokane, WA 99223
Email: donna@fcpas.org
Website: www.fcpas.org
Aldersgate College /Aldersgate University
Burgos St., Brgy. Quirino, Solano, Nueva Vizcaya 3709 Philippines
Email: vice-president@aldersgate.edu
Website:www.aldersgate-college.com
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Poma International Business Academy
Lagos, Nigeria
Email: admission@piba.biz
Website: www.piba.biz

SOAE – National Coordinators
25
National Coordination Team
Central Region - City - Lahore
DR. JAWAD SALEEM – FCFAc
Regional Coordinator
Tel. 92-302-8499331
Email: jawad@soae.edu.pk
MR. AMIR JAVED WARRAICH
Regional Coordinator
Tel. 0321-9480705
Email: amir@soae.edu.pk
DR. YASIR SAEED
Regional Coordinator
Tel. 0313-5213553
Email: yasir@soae.edu.pk
SYED ARSHAD ILYAS -ACFAc
Regional Coordinator
Mobile: 03008081253
E-mail: zaidi@soae.edu.pk
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Central Region - City - Sialkot
MR. ZEESHAN HAMID - ACFAc
Regional Coordinator
Mob:00971 (0)50 4680322
Email: zeeshan@soae.edu.pk

SOAE – National Coordinators
26
Central Region - City - Gujranwala
MR. ANWAR MAHMOOD KHOKHAR – FCFAc
Regional Coordinator
Landline #: 055-111-000-055
Cell #: 0300-8506500
E-mail: khokar@soae.edu.pk
West Region - City - Faisalabad
MR. AHMAD NAEEM BUTT ACFAc
Regional Coordinator
Cell No. 0300-6640057
Email: ahmed@soae.edu.pk
MR. MUHAMMAD NADEEM BAIG – ACFAc
Regional Coordinator
Cell No. +92-300-6637352
Email: RCFaisalabad@soae.edu.pk
South Region - City - Karachi
MR. SYED ALI ABBAS ABIDI – ACFAc
Regional Coordinator
Cell No. 0334-2099951
Email: abidi@soae.edu.pk
MR. UMAIR NOOR – ACFAc
MR. IFTIKHAR BAIG CHUGHTAI– ACFAc
Regional Coordinator
Cell No. 0333-2252863
Email: iftikhar.baig@soae.edu.pk
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Regional Coordinator
Cell No. 0345-2930301
Email: umair@soae.edu.pk
MR. ADIL HASSAN KHAN – ACFAc
Regional Coordinator
Cell No. 0322-2713802
Email: adil@soae.edu.pk

SOAE – National Coordinators
27
North Region - City - Islamabad & Rawalpindi
MR. ADNAN KHAN YOUSAFZAI – ACFAc
Regional Coordinator
Cell No.
Email: adnan@soae.edu.pk
MR. MAHAR ALI – ACFAc
Regional Coordinator
Cell No. 0300-9898783
Email: mahar@soae.edu.pk
MR. MUHAMMAD UMAIR RABANI –
Regional Coordinator
Cell No. 0333-5595519 & 0311-5595519
Email: rabbani@soae.edu.pk
MR. AAMIR MUSTAFA - FCFAc
Regional Coordinator
Cell No. 0346-7080631
Email Id: amirmustafa@soae.edu.pk
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North Region - City - Wah Cantt
MR. MURRAD HUSSAIN – ACFAc
Regional Coordinator
Cell No. 0334-5020702
Email Id: murrad22@gmail.com
North Region - City - Abbottabad
MR. SHAKEEL ZAHEER
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Regional Coordinator
Cell: 0313-5343921, 0306-5841598 & 0334-4462902
Email: zaheer@soae.edu.pk

SOAE – International Coordinators
28
International Coordination Team
MR. MUGHIS UD DIN-ACFAc
International Coordinator-USA
Cell Number: +1-832-374-4804.
E-Mail:mughis07@yahoo.com
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PROF. KENNETH YEE MAN TSE
International Coordinator-HK
Hong Kong
Cell Phone No: 852- 72883642
Email:ken_ymt@yahoo.com.hk
MR. DANISHWAR KHAN-ACFAc
International Coordinator
Afghanistan
Tel: 0093-786697434 & 0092-345-9084785
Email: danish_khan115@yahoo.com
MR. SHAHID NADEEM - FCFAc
International Coordinator-KSA
Kingdom of Saudi Arabia
Off Tel: 0096614773404 Mobile: 00966502958651
Email: ksa@soae.edu.pk
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MUHAMMAD RIZWAN YAQOOB-ACFAc
Regional Coordinator
Cell No. 009718357841
Email: rizwan@soae.edu.pk
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