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Q&A Regarding New Company Law of China (36)

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Q: How does a company hire an accounting firm for auditing?
A: The appointment or dismissal of the accounting firm that undertakes the audit business of the company shall be decided by the shareholders' meeting, the board of directors or the Board of supervisors in accordance with the provisions of the articles of association.

Q: What materials should be prepared for company audit?
A: The company shall provide true and complete accounting documents, accounting books, financial accounting reports and other accounting materials to the accounting firm it employs, and shall not refuse, conceal or misrepresent.

Q: What are the ways companies can merge?
A: The merger of the company can be adopted by absorption merger or new set merger.

Q: What does absorption merger refer to in a company merger?
A: A company's absorption of other companies is an absorption merger, and the absorbed company is dissolved.

Q: What does the new set merger refer to in a company merger?
A: The merger of two or more companies to establish a new company is a new set merger, and the parties to the merger are dissolved.

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