A. Auditing B. Vouching C. Verification D. Checking The correct answer to the question: “____________ is a systematic examination of the books and records or a business?” is “Auditing”.
A. To inspect B. To examine C. To hear D. To investigate The correct answer to the question: “The term ‘Audit’ is derived from a Latin word “audire” which means___________?” is “To hear”.
A. Expression of opinion B. Detection and Prevention of fraud and error C. Both (A) and (B) D. Depends on the type of audit. The correct answer to the question: “The main object of an audit is _____________?” is “Depends on the type of audit.”.
A. Blood haunt B. Watch dog C. May both according to situation D. None of these The correct answer to the question: “An auditor is like a_______________?” is “Watch dog”.
A. Auditing B. Testing C. Vouching D. Verification The correct answer to the question: “Process of verifying the documentary evidences of transactions are known as___________?” is “Vouching”.
A. Small scale business B. Partnership firms C. Joint stock Companies D. Proprietary Concerns The correct answer to the question: “Auditing is compulsory for____________?” is “Joint stock Companies”.
A. Embezzlement B. Misappropriation C. Lapping D. None of these The correct answer to the question: “Concealment of shortage by delaying the recording of cash receipts is known as_____________?” is “Lapping”.
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 The correct answer to the question: “The fundamental objective of the audit of a company is to_____________?” is “Attest to the credibility of … Read more
A. Are responsible for ensuring that the company complies with the law B. Are responsible for ensuring that the company pays its tax by the due date C. Safeguard the company’s assets and manage them on behalf of the shareholders D. Report suspected fraud and money laundering to the authorities The correct answer to the … Read more
A. Because they are easier to audit B. Because it reduces the audit time C. Because the risk to the accounts of their being incorrectly stated is greater D. Because the directors have asked for it The correct answer to the question: “Why do auditors concentrate their efforts on material items in accounts?” is “Because … Read more