RegulationonAccountingPracticesPrinciples.docVIP

From the Banking Regulation and Supervision Agency: Regulation on Accounting Principles (Published in the Official Gazette dated 22.06.2002, No: 24793(Repeated)) SECTION ONE Scope and Purpose, Legal Basis, Abbreviations Scope and purpose Article 1- The purpose of this regulation is to determine the bases, principles and procedures regarding providing transparency and uniformity in accounting and record order of banks, preventing their transactions not to be booked, booking their activities in a sound and reliable manner in compliance with their real natures, preparing their financial statements including the information regarding their financial status on a consolidated and non-consolidated basis, financial performances and management efficiency in time and in a correct manner, reporting and publishing thereof. In cases where there is not clarity in this Regulation and in communiqués to enter into force regarding accounting standards pursuant to this Regulation, principles adopted on national and international accounting standards, the norms brought by the European Union regulations, principles widely used in financial markets in case they are not contradictory to the legislation are applied respectively. Legal basis Article 2- This Regulation has been enacted pursuant to the provisions of Article 3, paragraph (11) and Article 13 of the Banks Act No: 4389. Abbreviations Article 3- In this Regulation; “Act” means the Banks Act No: 4389, “Board” means the Banking Regulation and Supervision Board, “Agency” means the Banking Regulation and Supervision Agency, “Bank” means the definition in Article 2 of the Banks Act No: 4389. SECTION TWO Basic Accounting Principles Accounting principles, basic assumptions and accounting standards Article 4- Accounting principles define the bases to be applied in order to provide the usage of basic accounting principles on financial statements and accounting transactions. In case there is more than one option for a specif