Cost audit report is to be furnished to:
A. The company
B. The central government with a copy to company
C. The central government
D. The company secretary
Select an option to see the answer and solution.
In case of unclaimed wages, the auditor should examine whether:
A. The amount has been deposited in a separate bank account
B. Deposited with the cashier
C. Held in a safe deposit box
D. All of these
Select an option to see the answer and solution.
Which of the following Schedule of the Companies Act, 2013 deals with depreciations?
A. Schedule II
B. Schedule V
C. Schedule XIII
D. Schedule X
Select an option to see the answer and solution.
The authority to remove the first auditor before the expiry of term is with:
A. The shareholders in a general meeting
B. The shareholders in the first annual general meeting
C. The board of directors
D. The Central Government
Select an option to see the answer and solution.
While verifying intangible assets, an auditor would recomputed amortization charges and determines whether amortization period is reasonable. The auditor tries to establish . . . . . . . . by doing it
A. Valuation
B. Existence
C. Disclosure
D. Possession
Select an option to see the answer and solution.
Internal control includes
A. Economic control
B. Economic and non-economic control
C. Economic, non-economic control and administrative control
D. None of these
Select an option to see the answer and solution.
Window dressing implies:
A. Curtailment of expenses
B. Checking of wastages
C. Under valuation of assets
D. Over valuation of assets
Select an option to see the answer and solution.
Internal check is a part of:
A. Internal audit
B. Internal control
C. Annual audit
D. Standard audit
Select an option to see the answer and solution.
Management Audit includes
A. Efficiency and performance audit
B. Propriety audit
C. Both A and B
D. None of the above
Select an option to see the answer and solution.
Institute of Chartered Accountants of India was established:
Select an option to see the answer and solution.
Which of the following statements with regard to rules regarding exemption from branch audit is not true?
A. A branch office of a company can be granted exemption on the basis of quantum of activity criterion
B. If a satisfactory arrangement of scrutiny check of the books of account of a branch office of a manufacturing company has been made, it can be exempted from branch audit
C. Cost consideration should be considered as an important factor/ground for exemption from branch audit
D. The auditor should state in his audit report that branch office is exempted by virtue of quantum of activity or any other basis
Select an option to see the answer and solution.
What are the qualification required to be an auditor of a company?
A. An auditor must have passed M.Com
B. An auditor must have passed the exam of India audit and accounts service
C. An auditor must be Chartered Accountant under the Chartered Accountant Act, 1949
D. An auditor must be an employee of the company
Select an option to see the answer and solution.
'XYZ' is a firm of Chartered Accountants having three partners, all of whom are in full time practice. What is the total number of companies for which the firm can act as auditor at a given point of time:
Select an option to see the answer and solution.
Statutory audit is compulsory for:
A. All public limited companies
B. All private limited companies
C. Both public and private limited companies
D. All business enterprises
Select an option to see the answer and solution.
The board of directors shall appoint first auditor of a company:
A. Within one month of completion of capital subscription state of the company
B. Within one month of the promotion of the company
C. Within one month of the commencement of the business of the company
D. Within one month of incorporation of the company
Select an option to see the answer and solution.
Internal control covers the following:
A. Statutory audit, internal audit and internal check
B. Internal check and internal audit only
C. Internal check, internal audit, statutory audit and physical control of assets
D. None of the above
Select an option to see the answer and solution.
As per AAS4, if auditor detects an error then:
A. He should inform the management
B. He should communicate it to the management if it is material
C. The auditor should ensure financial statements are adjusted for detected errors
D. Both B and C
Select an option to see the answer and solution.
Process of verifying the documentary evidences of transactions are known as:
A. Auditing
B. Testing
C. Vouching
D. Verification
Select an option to see the answer and solution.
Internal auditor is:
A. a representative of shareholders
B. a representative of government
C. an employee of the company
D. an independent professional
Select an option to see the answer and solution.
The term 'Audit' is derived from a Latin word "audire" which means:
A. To inspect
B. To examine
C. To hear
D. To investigate
Select an option to see the answer and solution.