PAC2602 ASSESSMENT 02 semester 2 solutions 2025
UNIQUE NUMBER: 778354
:
DUE DATE: 19 September 2025 @ 10 00 AM
PAC2602 COMPULSORY ASSESSMENT 02
UNIQUE NUMBER: 778354
DUE DATE: 19 September 2025 @ 10:00 AM
Please note the following important information:
This assessment is COMPULSORY for admission to the examination.
The assessment counts 10% towards your final mark.
NO late submissions will be allowed.
NO extension will be granted.
NO assessment submitted via email to lecturers will be considered.
Please make use of the CORRECT platform to submit your assessment.
It is advisable to submit your assessment BEFORE the due date in order to avoid
challenges such as load-shedding; etc.
All the best with your Assessment 02!
, QUESTION 1
1.1 Explain why it is important for a registered Paralegal Advice Centre to have its
finances audited.
Auditing is a formal examination of an organisation’s financial statements conducted by
an independent professional. For a registered Paralegal Advice Centre, having its
finances audited is crucial for several reasons:
1. Accountability: Auditing ensures that the Centre is accountable to
stakeholders, including funders, clients, and regulatory authorities. It
demonstrates that public and donated funds are properly managed.
2. Transparency: An audit provides transparency in financial reporting, which
builds trust between the Centre and its stakeholders.
3. Compliance with the law: Registered Paralegal Advice Centres, especially if
registered as Non-Profit Organisations (NPOs), must comply with South African
legal requirements, including proper record-keeping and reporting (Nonprofit
Organisations Act 71 of 1997).
4. Fraud prevention: Regular audits help detect financial irregularities and
cybercrime incidents, such as the theft experienced by the Giyani Paralegal
Advice Centre, thereby protecting the Centre’s assets.
5. Funding eligibility: Many funders require audited financial statements before
providing grants. Without audits, the Centre risks losing access to critical funding
(SAICA, 2020: 14–16).
References:
• SAICA (2020) Auditing in South Africa: Principles and Practices, Johannesburg:
SAICA.
• Nonprofit Organisations Act 71 of 1997 (RSA).
UNIQUE NUMBER: 778354
:
DUE DATE: 19 September 2025 @ 10 00 AM
PAC2602 COMPULSORY ASSESSMENT 02
UNIQUE NUMBER: 778354
DUE DATE: 19 September 2025 @ 10:00 AM
Please note the following important information:
This assessment is COMPULSORY for admission to the examination.
The assessment counts 10% towards your final mark.
NO late submissions will be allowed.
NO extension will be granted.
NO assessment submitted via email to lecturers will be considered.
Please make use of the CORRECT platform to submit your assessment.
It is advisable to submit your assessment BEFORE the due date in order to avoid
challenges such as load-shedding; etc.
All the best with your Assessment 02!
, QUESTION 1
1.1 Explain why it is important for a registered Paralegal Advice Centre to have its
finances audited.
Auditing is a formal examination of an organisation’s financial statements conducted by
an independent professional. For a registered Paralegal Advice Centre, having its
finances audited is crucial for several reasons:
1. Accountability: Auditing ensures that the Centre is accountable to
stakeholders, including funders, clients, and regulatory authorities. It
demonstrates that public and donated funds are properly managed.
2. Transparency: An audit provides transparency in financial reporting, which
builds trust between the Centre and its stakeholders.
3. Compliance with the law: Registered Paralegal Advice Centres, especially if
registered as Non-Profit Organisations (NPOs), must comply with South African
legal requirements, including proper record-keeping and reporting (Nonprofit
Organisations Act 71 of 1997).
4. Fraud prevention: Regular audits help detect financial irregularities and
cybercrime incidents, such as the theft experienced by the Giyani Paralegal
Advice Centre, thereby protecting the Centre’s assets.
5. Funding eligibility: Many funders require audited financial statements before
providing grants. Without audits, the Centre risks losing access to critical funding
(SAICA, 2020: 14–16).
References:
• SAICA (2020) Auditing in South Africa: Principles and Practices, Johannesburg:
SAICA.
• Nonprofit Organisations Act 71 of 1997 (RSA).
