Answer: B, 23. THE PRIMARY PURPOSE OF ESTABLISHING QUALITY CONTROL POLICIES AND PROCEDURES FOR DECIDING ON CLIENT EVALUATION IS TO, A) ENSURE ADHERENCE TO GENERAL Y ACCEPTED AUDITING STANDARDS A) Auditor will obtain sufficient appropriate audit evidence. 64. D) none of these can appoint a person to fill the vacancy. It may also commence before the final accounts are prepared and continue till the audit is completed even after the close of the financial or trading period. THE USE OF AN AUDIT ENGAGEMENT LETTER IS THE BEST METHOD OF ASSURING THE AUDITOR WILL HAVE WHICH OF THE FOLLOWING? B) obtain knowledge of matters that relate to the nature of entity business. Answer: B. Give it a try and choose the right answer according to you for each question. B) To provide a basis for subsequent audits A) to the shareholders. D) all of the above. D) sequential. Answer: C, 60. B) reduction of share capital. Differences Between Auditing And Investigation, Differences Between Auditing And Accounting, Methods Of Detecting Errors While Auditing. 65. C) the share holders. An audit is usually conducted in three steps: (1) A pre-examination or opening meeting with the auditee marks the beginning of the process. D) All of the above. Preliminary expenses are the best example for _________. When the auditor is an employee of the organization being audited (auditee), the audit is classified as an …….. quality audit. B) IMPROVED INTERNAL CONTROL SYSTEM The ……… is also expected to provide the resources needed and select staff members to accompany the auditors. 69. A) public limited company only The Commission's rules specify that, as of the beginning of the next year (e.g., January 1, 2004), the firm is not independent when the "lead" partner has served for more than fiv… An audit is an unbiased examination and evaluation of the financial statements of an organization. C) Interim audit. B) It helps to discover material misstatements in the financial statements. D) None of the above. A forensic audit is also needed to have a proper plan, procedure, and report like other audit engagement. Periodical audit is also called as _________. A) recording business transactions. C) ICWA Differences Between Internal Audit And Statutory A... Concept Of Routine Checking, Its Advantages And Di... Concept Of Test Check, Its Advantages And Disadvan... Concept Of Internal Control And Its Advantages, Essential Characteristics Of Internal Check System, Concept, Objectives And Advantages Of Internal Audit, Advantages And Disadvantages Of Management Audit, Concept, Functions And Objectives Of Management Audit. II) SIGNIFICANTLY HIGHER CONTROL RISK THAN THAT ASSESSED IN PRIOR AUDIT. A) THE COMPANY IS PLANNING AN INITIAL PUBLIC OFFER OF QUALITY SHARES TO RAISE ADDITIONAL CAPITAL FOR EXPANSION. Answer: B, 56. C) the managing director of the company appoints a person to fill the vacancy. D) ALL OF THE ABOVE. 66. The quantity of audit working papers complied on engagement would most be affected by _________________. ‘He developed not only bookkeeping rules but also the procedures for preparing periodic income statements and budgets and performing independent audits.’ ‘This is an independent state audit body in charge of the fiscal management and control of public bodies, with particular regard to the way that State assets are used.’ C) Civil and Criminal. I) INFORMATION ABOUT INTEGRITY OF MANAGEMENT 18. B) The auditor remuneration. Answer: D, 35. C) VOUCH GOODS SENT ON APPROVAL VERY CAREFUL Y D) It helps to accumulate evidence supporting the validity of a specific account balance B) Debtors C) to verify statements. The owners of the company are called __________. B) audit of amortization of debt. To know that the profit or loss presented by the business is true and fair. [A] Continuous audit. A) internal C) Carbon copies of sales invoices inspected by the auditor An auditor's statement that he/she has reviewed the financial statements of a company and believes that they are accurate, complete, and in accordance with Generally Accepted Accounting Principles.Most of the time, a publicly-traded company's annual report contains an accountant's opinion; a report without one can be a matter of concern to investors. C) ADOPTION OF CONSERVATIVE ACCOUNTING PRINCIPLES Answer: D, 28. Answer: A, 15. The final exams for the Audit class are just around the corner and the quiz below is designed to help you pass the quiz by getting rid of the cold feet you may be having. C) advisable WORKING PAPERS OF FRAUD RISK ASSESSMENT UNDERTAKEN BY THE AUDITOR. The main objects of investigation is _________. A) (I) AND (I) B) (I) AND (I I) C) (I), (I) AND (I I) D) I) AND (I I), 70. A) at par. Answer: A, 52. C) private limited company only. Answer: B. D) take help of other auditors. 4. Audit team members D) the client, the auditor, and the auditee. The audit was performed by OPM’s Office of the Inspector General, as authorized by the Inspector General Act of 1978, as amended. C) NOT NECESSARILY HONEST Which of the following statement is not correct regarding removal of first auditor before expiry of the term? Which of the following is not a kind of audit? A) Section 226(1) and Section 226(2). - An audit can be an internal audit (first party), or external audit (second party or third party), and it can be a combined audit or a joint audit. Audit execution: The execution phase of an audit is often called the fieldwork. C) Adjusted interim financial statement. C) to check the internal control system in business. 8. D) To provide a guide for advising another client on similar issues. IV) ORGANIZATION STRUCTURE D) avoidable 3. A) Bank statements obtained from the client Answer: D, 41. Answer: D, 12. A) to verify the assets and liabilities. B) intangible asset. b) Smaller concerns D) annual general meeting Cost audit under section 233(b) of the companies act is ___________. A) the auditor. B) NEITHER HONEST NOR DISHONEST D) Effectiveness audit. Answer: A, 25. 2. But when the time comes to fix the problems, they don’t have a plan of action. Differences Between Verification And Vouching. A. B) OBTAIN KNOWLEDGE OF MATTERS THAT RELATE TO THE NATURE OF ENTITY’S BUSINESS The auditor of a government company shall be appointed by _____. (3) the auditor examines in depth the implementation of the quality system. II) DISAGREEMENT WITH MANAGEMENT CONCERNING AUDITING PROCEDURES nomcebo_shongwe. WHICH OF THE FOLLOWING INFORMATION SHOULD A SUCCESSOR AUDITOR OBTAIN DURING THE INQUIRY OF? Answer: D, 39. a) Final audit b) Internal audit c) Company audit d) Statutory audit 33. a) Financial audit b) Efficiency audit c) Cost audit d) Cash audit 32. How to use audit in a sentence. B) ACCEPTANCE OR RETENTION OF CLIENTS WHOSE MANAGEMENT DOES NOT LACK INTEGRITY C) the client, the moderator, and the auditee Answer: D, 47. Answer: C. 22. D) co-operative societies Audit definition is - a formal examination of an organization's or individual's accounts or financial situation. C) CONSULTATION WITH EXPERTS B) related party sales. B) the shareholders. C) Balance sheet audit. A) reasonably honest. B) to know that all receipts and payments have been properly recorded. A) fictitious asset. An auditor who accepts an audit but does not posses the industry expertise of the business entity should ______________. (adsbygoogle = window.adsbygoogle || []).push({}); Engineering interview questions,Mcqs,Objective Questions,Class Lecture Notes,Seminor topics,Lab Viva Pdf PPT Doc Book free download. D) PERFORM ANALYTICAL PROCEDURES. D) floating asset. The only thing is that the audit is completed in one continuous session. Audit standards and reference documents used Balance sheet audit.D. Audit means ___________. Vouching of the balances of all incomes and expenses account is known as vouching of ______. In response to the OSA audit, EDA submitted a corrective action plan (CAP) to address OSA’s recommen dations. An information technology audit, or information systems audit, is an examination of the management controls within an Information technology (IT) infrastructure.The evaluation of obtained evidence determines if the information systems are safeguarding assets, maintaining data integrity, and operating effectively to achieve the organization's goals or objectives. A) Prior years errors. C) capital expenditure. D) need not possess any professional qualification. (OSA) issued an audit report that identified areas for improvement regarding the BEIP, BRRAG, and GrowNJ incentive programs. Continuous Audit A) related party purchases. B) process Marketing Strategy. The audit plan is more detailed than the audit strategy and it includes the nature, timing and extent of audit procedures to be performed by the engagement team members. A final audit is that which starts after the closing of accounting period of the business and it is carried out until completion. Which of the following is not a fact of EPA? One of the audit procedures to check the issue of share capital of the newly formed company is __________. b audit for an intermediate period audit carried out at specified intervals within the year interim audit is an audit conducted during the fiscal year usually as a means of minimizing the work and time ... Periodical audit is also called as ----? C) Mr. Y who owes Rs. B) FAILURE TO CORRECT KNOWN WEAKNESS IN INTERNAL CONTROL SYSTEM A) the BOD of the company A) specified standards and plans 10. This Charter is intended to complement the Charter of the Audit Committee of the Board of Trustees as adopted on September 14, 2016. B) Impersonal ledger. A) Personal ledger. The most comprehensive type of audit is the ……… system audit, which examines suitability and effectiveness of the system as a whole. Answer: B, 46. D) preparing final accounts. D) Income statement audit. When a transaction has not been recorded in the books of account either wholly or partially such errors are called as _________. D) MANAGEMENT INCENTIVE SYSTEM BASED ON SALES DONE IN A QUARTER, 62. So, an auditor needs to check all those statements and accounts. In India balance sheet audit is synonymous to _______________. C) Cash A) the memorandum of association and articles of association. The Bipartisan Budget Act of 2015 (Public Law No. D) AAS-3. The most difficult type of misstatement to detect fraud is based on __________. D) A DESCRIPTION OF THE AUDITOR’S METHOD OF SAMPLE SELECTION. D) Section 242(B). The audit also found LANL to be compliance with all other requirements of Subpart H of 40 CFR 61 and related Appendixes. A) A partner or a director of the company. D) to check the bank balance. B) the board of directors appoints a person to fill the vacancy. Periodical audit is one which is taken up at the close of the financial or trading period when all the accounts have been balanced and Trading and Profit and Loss Accounts and the Balance Sheet have been prepared. C) section 242(A) B) SYSTEM OF DETERMINING AUDIT FEES Answer: B, 24. c) Audit for submitting report immediately at the end of the year. Based on each year's risk assessment, we develop an audit plan outlining the work we intend to accomplish during the next fiscal year. His remuneration is fixed by _____________. Secret reserve can be created by _______________. WHICH OF THE FOLLOWING FACTORS LIKELY TO BE IDENTIFIED AS A FRAUD FACTOR BY THE AUDITOR? B) the central government. D) The provision for such removal are contained in section 224(7) B) Error of omission. 500 to the company. D) Sales Balance sheet audit included verification of ________. Answer: B, 20. C) Detailed audit. As per C & AG Act, 1971 the tenure of the comptroller and Auditor General is ______ a. four years. D) seven years. A) AL RISK FACTORS AS MENTIONED IN AAS­4, SHOULD BE CONSIDERED AND DOCUMENTED ALONG WITH RESPONSE TO THEM. C) examination of books, accounts, vouchers etc. 8. 1. Meaning, Advantages And Disadvantages Of Continuous Audit, Advantages And Disadvantages Of Interim Audit, Audit On Behalf Of Different Types Of Partners, Audit Of Non Governmental Organizations(NGOs). A) Statutory audit. B) section 233(B) To know whether the organization has maintained regularity at the time of maintaining books of accounts. Answer: B, 53. Identification of involved parties: auditor, auditee, and third party Audit of transactions does not include __________. B) the share transfer register. To know that the financial position presented by the balance sheet is true and fair. Final audit.B. Audit is a fact-finding process that compares actual results with …………………. C) PLANT AND MACHINERY IS SOLD AT A LOSS. A) Error of commission To seal the deal with your link audit, the final 15 minutes will be the most valuable. But to maintain the standards and efficiency and quality, a periodic audit, not only of the performance of the individual judges but also the performance of the system as such is required. Special audit is conducted at the order of the central government. B) Interim audit. Answer: C, 42. [C] Interim audit. B) ACTS TO BE PERFORMED C) INFORM MANAGEMENT ABOUT IT THE LEAST IMPORTANT ELEMENT IN THE EVALUATION OF AN AUDIT FIRM’S SYSTEM OF QUALITY CONTROL WOULD RELATE TO, A) ASSIGNMENT OF AUDIT ASSISTANTS B) the C & AG. D) ALL OF THE ABOVE. C) PREDECESSOR AUDITOR’S ADVICE AS TO WHETHER AUDIT FEES WERE PAID PROMPTLY D) to the general public. C) THE RESTATEMENT OF SALES Answer: C, 57. Which of the following sections deals with qualification of the auditor? ASSESSMENT THAT THE RISK OF MATERIAL MISSTATEMENT DUE TO FRAUD IS HIGH IN RELATION TO EXISTENCE OF INVENTORY? D) the debenture holders. A) assets 8. A) auditor In determining the level of materiality for an audit what should not be considered? D) issue of new shares. Does the audit/troubleshooting apply to the entire facility or only to a particular piece of equipment? judgement, the auditor has to decide about the appropriate audit process opinion and report this de-cision to the management and to those charged with governance. 3. C) Balance sheet audit. D) non-profit making. THE RISK OF MANAGEMENT FRAUD INCREASES IN THE PRESENCE OF: A) FREQUENT CHANGES IN SUPPLIES Audit d ) within one month of the auditor examines in depth the implementation of the newly formed is! Properly designed and operating as intended in the books of account either wholly or partially such errors are called _________! 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