Category: Audit Mcqs

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

A. Participation of management 
B. Information processing  
C. Commitment to competence
D. Human resource policies and practices

A. Internal check system
B. Continuous audit 
C. Internal audit system
D. None of these

Continue reading “Concurrent audit is a part of____________?”

A. Staff specially appointed for the purpose
B. Internal auditor
C. Supervisor of the staff 
D. Members of the staff

A. Protect the interests of the minority shareholders
B. Detect and prevent errors and fraud
C. Assess the effectiveness of the company’s performance 
D. Attest to the credibility of the company’s accounts

A. The auditor has ascertained that the balance is materially correct when in actual fact it is not  
B. The auditor concludes the balance is materially misstated when in actual fact is not
C. The auditor has rejected an item from sample which was not supported by documentary evidence
D. He applies random sampling on data which is inaccurate and inconsistent

A. Be included in the stock 
B. Not be included in the stock
C. Not be checked by auditor
D. None of the above

A. Cost
B. Market price 
C. Cost or Market price whichever is lower. 
D. Cost less depreciation.

A. To provide a basis for review of audit work
B. To provide a basis for subsequent audits
C. To ensure audit work is being carried out as per programme 
D. To provide a guide for advising another client on similar issues

A. To be reliable, evidence should conclusive rather than persuasive 
B. Effective internal control system provides reliable audit evidence  
C. Evidence obtained from outside sources routed through the client
D. All are correct.