General

1. Three sets of account will be maintained for Madina Al Barakah Scrap & Metal Waste
Trading LLC (Dubai), Madinat Al Barakah Scrap & Metal Waste Trading LLC (Sharjah),
White Diamond Plastic Recycling LLC (Sharjah).

2. Responsible for doing accounting and keeping records.

Company Responsible person Location for keeping

records
Madina Al Barakah Scrap & Mr. Zeshan Dubai Office
Metal Waste Trading LLC
(Dubai)
Madinat Al Barakah Scrap & Mr. Rashid Sharjah Office
Metal Waste Trading LLC
(Sharjah)
White Diamond Plastic Mr. Zeshan Dubai Office
Recycling LLC (Sharjah)

Petty Cash
1. Petty cash book will be kept at the following locations
Location Responsible person
Madina Al Barakah Scrap & Metal Waste Mr. Zeshan
Trading LLC (Dubai),
Madinat Al Barakah Scrap & Metal Waste Mr. Rashid
Trading LLC (Sharjah)
White Diamond Plastic Recycling LLC Mr. Mikecal
(Sharjah)
Al hail/ Fujarah Mr. Sameul
Ras Al Khaimah Mr. Zeshan

2. Al Hail and Ras Al Khaimah sites petty cash book will be kept in the company of Madina
Al Barakah Scrap & metal Waste Trading LLC (Dubai).

3. Cash payments would be avoided as far as possible. Only petty bills or imprest accounts
can be paid in cash for the following petty expenses:
a. Expenditure for refreshments during official meetings.
b. Staff Conveyance.
c. Office Maintenance of petty nature
d. Printing & Stationary of petty nature
e. Any Other Petty Expense.
4. No cash payments above AED 2000 (Excluding cash purchase) should be made against a
single bill.

5. Only Expenditure related to that particular company will be charged as expenses and
other payments will be debited to the respective company.

6. Petty cash book will be maintained in excel format as well as printout will be taken on
daily basis.

7. On the basis of daily summery of cash book, voucher will be entered in quick books.

8. Payment vouchers along with daily summery of cash book and related invoices will be
kept in a box file for future reference.

9. Payment voucher and summery sheet will be signed by the responsible accountant.

10. The file will be presented to MD/CEO for their approval and daily voucher must be
signed by them. This is the duty of accountant to take their signature as soon as possible.

11. The auditors will check these expenses on weekly basis and if any irregularity is found
will be reported to management.

12. Before accepting any bill, the accountant must check the following points

a. Bill should be in the name of the respective company ie it should not be in the
name of any individual.
b. Bill should be for the current date.
c. A bill older then 7 days can’t be paid without prior approval of management.
d. If it is a tax invoice, it shall contain specified particulars in order to qualify as
recoverable input tax invoice. Below is the content of full tax invoice as per the
Article 59 of the Executive Regulations with regards to tax invoices:
i. The words “Tax Invoice” clearly displayed on the invoice.
ii. The name, address, and Tax Registration Number of the Registrant
making the supply.
iii. A sequential Tax Invoice number or a unique number which enables
identification of the Tax Invoice
iv. The date of issuing the Tax Invoice.
v. A description of the Goods or Services supplied.
vi. For each Good or Service, the unit price, the quantity or volume supplied,
the rate of Tax and the amount payable expressed in AED.
vii. The amount of any discount offered.
viii. The gross amount payable expressed in AED.
ix. The Tax amount payable expressed in AED
 In the absence of above criteria, credit of the VAT can’t be taken and full amount will be
charged to expenses.
13. Petty cash book must provide following information on daily basis:
a. Total expenses
b. Expenses due but not paid
c. Previous expenses paid
d. Cash balance

14. Format is attached as annexure A

Accounts payable
Accounts Payable consists of all short-term debts owed to creditors (to be paid off within a year
or so) and will be shown as a current liability on the company’s balance sheet. The standard
operating procedure of accounts department consists:-
1. Invoice from supplier must be approved by management.

2. A Journal voucher will be passed as on the date of invoice irrespective of payment date.

3. Before accepting any bill, points already mentioned in petty cash section will be checked
and if eligible for vat credit, vat will be booked as assets otherwise vat will be charged to
expenses.

4. It would be ensured that the entry of the bills will be made within 24 hours of receipt of
bills from the accounts officer.

5. For any payment of more than AED 5000, an approval note will be required. Approval note
for release of payment of the bill shall be prepared by the accountant along with the relevant
supporting documents such as Original Invoice Before payment, Accountant would ensure
that the approval note is signed by the management.

6. A control register would be maintained by Accountant for all the couriered and hand
delivered cheque giving details of courier number, cheque no, name of party, amount and
follow up should be done by Accountant on the delivery of the cheque so that the control
register can be updated accordingly.

Payroll
Not required as managed by top management.