Showing posts with the label Auditing McqsShow All
Which of the following is correct in relation to materiality?

Which of the following is correct in relation to materiality?

7/16/2022 01:05:00 am

A. A matter is material only if it changes the audit report B. A matter is material if…

How long is the auditor’s term of office?

How long is the auditor’s term of office?

7/16/2022 01:03:00 am

A. Until the audit is complete B. Until the financial statements are complete C. Until…

The independent auditor’s primary responsibility is to______________?

The independent auditor’s primary responsibility is to______________?

7/16/2022 01:01:00 am

A. the directors B. the company’s creditors (payables) C. the company’s bank D. the sh…

Assuming that it is not the first appointment of the auditor, who is responsible for the appointment of the auditor?

Assuming that it is not the first appointment of the auditor, who is responsible for the appointment of the auditor?

7/16/2022 12:57:00 am

A. The shareholders in a general meeting B. The managing director C. The board of dire…

Which one of the following is NOT a duty of the auditor?

Which one of the following is NOT a duty of the auditor?

7/16/2022 12:53:00 am

A. Duty to report to the company’s bankers B. Duty to report to the members C. Duty to…

When an auditor is proposed for removal from office, which one of the following is he NOT permitted to do?

When an auditor is proposed for removal from office, which one of the following is he NOT permitted to do?

7/16/2022 12:52:00 am

A. Circulate representations to members B. Apply to the court to have the proposal rem…

A sale of Rs. 50.000 to A was entered as a sale to B. This is an example of____________?

A sale of Rs. 50.000 to A was entered as a sale to B. This is an example of____________?

7/16/2022 12:48:00 am

A. Error of omission B. Error of commission C. Compensating error D. Error of principl…

Which of the following is not true about opinion on financial statements?

Which of the following is not true about opinion on financial statements?

7/16/2022 12:45:00 am

A. The auditor should express an opinion on financial statements. B. His opinion is no…

International auditing standards are issued by the______________?

International auditing standards are issued by the______________?

7/16/2022 12:41:00 am

A. International Accounting Standards Board B. International Federation of Accountants…

Which of the following is NOT the responsibility of a company’s directors?

Which of the following is NOT the responsibility of a company’s directors?

7/16/2022 12:39:00 am

A. Reporting to the shareholders on the accuracy of the accounts B. Establishment of i…

Why do auditors concentrate their efforts on material items in accounts?

Why do auditors concentrate their efforts on material items in accounts?

7/16/2022 12:35:00 am

A. Because they are easier to audit B. Because it reduces the audit time C. Because th…

The concept of stewardship means that a company’s directors________________?

The concept of stewardship means that a company’s directors________________?

7/16/2022 12:33:00 am

A. Are responsible for ensuring that the company complies with the law B. Are responsi…

The fundamental objective of the audit of a company is to_____________?

The fundamental objective of the audit of a company is to_____________?

7/16/2022 12:31:00 am

A. Protect the interests of the minority shareholders B. Detect and prevent errors and…

Concealment of shortage by delaying the recording of cash receipts is known as_____________?

Concealment of shortage by delaying the recording of cash receipts is known as_____________?

7/16/2022 12:28:00 am

A. Embezzlement B. Misappropriation C. Lapping D. None of these

Auditing is compulsory for____________?

Auditing is compulsory for____________?

7/16/2022 12:26:00 am

A. Small scale business B. Partnership firms C. Joint stock Companies D. Proprietary C…

Process of verifying the documentary evidences of transactions are known as___________?

Process of verifying the documentary evidences of transactions are known as___________?

7/16/2022 12:24:00 am

A. Auditing B. Testing C. Vouching D. Verification

An auditor is like a_______________?

An auditor is like a_______________?

7/16/2022 12:22:00 am

A. Blood haunt B. Watch dog C. May both according to situation D. None of these

The main object of an audit is _____________?

The main object of an audit is _____________?

7/16/2022 12:20:00 am

A. Expression of opinion B. Detection and Prevention of fraud and error C. Both (A) an…

The term ‘Audit’ is derived from a Latin word “audire” which means___________?

The term ‘Audit’ is derived from a Latin word “audire” which means___________?

7/16/2022 12:17:00 am

A. To inspect B. To examine C. To hear D. To investigate

____________ is a systematic examination of the books and records or a business?

7/16/2022 12:17:00 am

A. Auditing B. Vouching C. Verification D. Checking