Home use of office laptop is
A. Embezzlement of labor
B. Embezzlement of goods
C. Embezzlement of property
D. Embezzlement of cash
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Working papers which contain a record of the audit work done, are the property of
A. the company
B. the auditor
C. the company and the auditor both
D. the Company Law Board
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Audit programme is prepared by:
A. The auditor
B. The client
C. The audit assistants
D. The auditor and his audit assistants
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Verification is the process by which an auditor satisfies himself about the accuracy of
A. cash sales and credit sales
B. wages and salaries
C. assets and liabilities
D. commission and discounts
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For Tata Company Ltd., auditing is-
A. necessity
B. luxury
C. symbol of prestige
D. necessity and luxury both
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Purchase of machinery is a . . . . . . . .
A. revenue receipt
B. capital receipt
C. capital expenditure
D. revenue expenditure
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Inspection report/receiving report supports entries in:
A. Sales book and sales return book
B. Purchase book and sales return book
C. Cash book and purchase book
D. Sales book and purchase return book
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In order to vouch bought ledger, the auditor obtain confirmations from creditors. The principal reason for the auditor to examine suppliers statements at balance sheet date is to obtain evidence that:
A. The supplier exist
B. There are no unrecorded liabilities
C. Recorded purchases actually occurred
D. To link creditors with cash book entries
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Instruction of audit issued by controller and auditor general of India . . . . . . . .
A. Statutory Audit
B. Final Audit
C. Management Audit
D. Government Audit
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Sale of land is a . . . . . . . .
A. revenue receipt
B. capital receipt
C. capital expenditure
D. revenue expenditure
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Normally a company auditor is appointed by:
A. Central government
B. Shareholders
C. Board of directors
D. Company law board
E. Creditors
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Which of the following is the function of an auditor?
A. To check the mathematical correctness of the account
B. Finding and preventing errors
C. Finding and preventing deficiencies
D. All of the above
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Test checking reduces-
A. Responsibility of an auditor
B. Rights of an auditor
C. Expenses of an auditor
D. Work of an auditor
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Verification of the value of assets, liabilities, the balance of reserves, provision and the amount of profit earned or loss suffered a firm is called . . . . . . . .
A. continuous audit
B. balance sheet audit
C. interim audit
D. partial audit
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Which of the following controls would ensure that securities are not lost, stolen or diverted?
A. Establish physical barriers over investment securities
B. Maintain files of authorized signatures
C. Segregate investment approval from accounting and from custody of securities
D. All of the above
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Voucher relates to . . . . . . . .
A. Cash receipt & payments, credit transactions
B. Cash payment only
C. Credit transactions only
D. Cash receipt only
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Control risk is assessed at:
A. Overall financial statements level
B. Fraud risk factor level
C. Financial statement assertion level
D. Control environment level
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For what minimum period should audit working papers be retained by audit firm?
A. For the time period the entity remains a client of the audit firm
B. For a period of ten years
C. For a period auditor opines them to be useful in servicing the client
D. For the period the audit firm is in existence
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Company auditing was first made compulsory in India, in
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The auditor's report alongwith the annual accounts is given
A. Statutory auditor
B. Internal auditor
C. Government auditor
D. Secreterial auditor
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