Description : Which one of the following is called backbone of auditing ? (A) Routine checking (B) Vouching (C) Internal check (D) Internal control
Last Answer : Answer: Vouching
Description : Under vouching, checking is done of– (A) Journal and Ledger (B) Profit and Loss Account (C) Balance Sheet (D) All of the above
Last Answer : Answer: All of the above
Description : While auditing the financial statements of non-corporate enterprises, the auditor's duties and scope of work would be governed by- (A) the statute passed by the Parliament (B) the Companies Act, 1956, and ... (C) the agreement with his client. (D) the provisions of the Income Tax Act, 1961
Last Answer : Answer: the agreement with his client.
Description : Auditing of accounts is compulsory for– (A) Sole proprietary business (B) Partnership firms (C) Joint Stock Companies (D) None of the above
Last Answer : Answer: Sole proprietory business
Description : Which is a chief subsidiary object of auditing?
Last Answer : Detection of Frauds and errors
Description : The object of ‘Agenda’ is to inform– (A) About the profitability and activity (B) About the progress of company (C) About the matter in sequence to be discussed in the meeting (D) About the routine matters
Last Answer : Answer: About the matter in sequence to be discussed in the meeting
Description : Internal activity of a company is going to be performed according to established regulations. This assumption is provided as a right by– (A) Doctrine of Indoor Management (B) Doctrine of Constructive Notice (C) Doctrine of Ultravires (D) Doctrine of Intravires
Last Answer : Answer: Doctrine of Indoor Management
Description : Which one of the following is not included in the internal check as regards purchases ? (A) Assessment of requirements (B) Placing orders (C) Despatch of goods (D) Recording and making payments
Last Answer : Answer: Despatch of goods
Description : Organisational change is necessitated by– (A) External environmental pressure (B) Internal strengths and weaknesses (C) Sequential changes (D) All the above
Last Answer : Answer: All the above
Description : Internal Audit is provided for in the– (A) Companies Act (B) Partnership Act (C) Both (A) and (B) (D) Neither (A) or (B)
Last Answer : Answer: Neither (A) or (B)
Description : Internal Auditor is appointed by the– (A) Management (B) Shareholders (C) Government (D) Statutory Auditor
Last Answer : Answer: Management
Description : Which one of the following statements is correct ? (A) Internal audit and Management audit are the same (B) Internal audit and statutory audit are the same (C) Internal audit is compulsory in all cases (D) Statutory audit of company accounts is compulsory
Last Answer : Answer: Statutory audit of company accounts is compulsory
Description : Which is a document containing a rules and regulations for the internal management of the company?
Last Answer : The article of association
Description : What checks out your computer or network for potential weaknesses? a. Encryption b. Public key encryption c. Security‐auditing software d. None of the above
Last Answer : c. Security‐auditing software
Description : How often do you wash your car and do routine checks?
Last Answer : not often enough
Description : Who can write out checks from a joint checking account?
Last Answer : Both can write checks, as far as the bank is concerns, but many businesses won’t accept them from the spouse whose name is not on the check.
Description : Can anyone define "checks' or "checking" as it pertains to mental illness?
Last Answer : I have to do certain checks. I can’t rest unless I do them, and if something has moved it drives me crazy and I search absolutely everywhere until it is found. I have even been known to search the bins.
Description : How do I deposit checks and cash if I have an online checking account?
Last Answer : You use the automated clearing house (ACH) system. Your employer can direct-deposit your earnings into your online account, and you can access them using a debit card provided by the online bank.
Description : Wider span of control is effective in organization where– (A) authority delegation is inadequate (B) tasks are complex (C) thorough subordinate training scheme exists (D) the leadership style is authoritarian
Last Answer : Answer: thorough subordinate training scheme exists
Description : The tool used by auditor to monitor and control the progress of audit work is– (A) Engagement diary (B) Audit programme (C) Audit working papers (D) Audit notes.
Last Answer : Answer: Audit programme
Description : Which one of the following is the most appropriate task of office management ? (A) Creation of profit centre (B) Creation of control centre (C) Making office supplies available (D) Supervision of production Quality Control
Last Answer : Answer: Creation of control centre
Description : Which one of the following is the most appropriate management control technique for timely completion of a project ? (A) Organisation chart (B) Management by Objectives (C) PERT (D) Span of control
Last Answer : Answer: PERT
Description : Which among the following is the societal obligation of accounting ? (A) To ascertain profit correctly (B) To maintain the records of the assets and liabilities of organisation (C) To establish effective organizational control (D) To be helpful in correct tax assessment
Last Answer : Answer: To be helpful in correct tax assessment
Description : Fax is used for– (A) Sending telephonic message (B) Sending copies of documents (C) Exercising control (D) Decision making
Last Answer : Answer: Sending copies of documents
Description : The basic aim of Securities and Exchange Board of India (SEBI) is to- (A) Develop an effective and efficient monitoring and control system for the Indian Capital Market (B) To help Bombay Stock Exchange ... To help National Stock Exchange of India Ltd. only (D) To help OTC Exchange of India only
Last Answer : Answer: Develop an effective and efficient monitoring and control system for the Indian Capital Market
Description : Standard costing is a technique of– (A) Planning (B) Organising (C) Coordination (D) Control
Last Answer : Answer: Control
Description : Which management functions are closely related to ? (A) Planning and Organising (B) Organising and Staffing (C) Staffing and Control (D) Planning and Control
Last Answer : Answer: Planning and Control
Description : What is Qualitative credit control?
Last Answer : Qualitative credit controls are used when it wants to control the use of funds made available by the commercial banks to customers
Description : What is Quantitative credit control?
Last Answer : Quantitative credit controls are used when it wants to control the total supply of money
Description : Who are entitled to take part in the control and management of business in a company?
Last Answer : The board of directors elected by the shareholders
Description : Do you have a routine when it comes to checking websites you like?
Last Answer : Hahaha! I do! (I always sign on Msn first) Hotmail, Facebook, Tumblr, Fluther, Facebook (and then random websites)
Description : An audit made in accordance with Philippine Standards on Auditing generally should a. Be expected to provide assurance that noncompliance with laws and regulations will be detected if the internal ... relied upon to provide assurance that all noncompliance with laws and regulations will be detected
Last Answer : Not be relied upon to provide assurance that all noncompliance with laws and regulations will be detected
Description : Which of the following underlies the application of generally accepted auditing standards, particularly the standards of fieldwork and reporting? a. Element of corroborating evidence b. Element of reasonable assurance c. Elements of materiality and risk d. Element of internal control
Last Answer : Elements of materiality and risk
Description : The risk that the audit will fail to uncover a material misstatement is eliminated a. When the auditor has complied with generally accepted auditing standards. b. If client has good internal control. c. If client follows generally accepted accounting principles. d. Under no circumstances
Last Answer : Under no circumstances
Description : An auditor's examination performed in accordance with generally accepted auditing standards generally should a. Be expected to provide assurance that illegal acts will be detected where internal control is ... aspects. d. Not be relied upon to provide assurance that illegal acts will be detected
Last Answer : Not be relied upon to provide assurance that illegal acts will be detected
Description : The generally accepted auditing standards of fieldwork pertain most directly to: a. Improving internal control as a result of the audit. b. Due professional care in the performance of the audit. c. The required training and proficiency of the auditors. d. The planning of the audit
Last Answer : The planning of the audit
Description : Which of the following statements is a standard applicable to financial statement audits in accordance with Government Auditing Standards? a. An auditor should briefly describe in the auditor's ... whether the entity has reportable measures of economy and efficiency that are valid and reliable.
Last Answer : An auditor should report on the scope of the auditor's testing of internal control.
Description : An objective of a performance audit is to determine whether an entity's a. Operational information is in accordance with government auditing standards b. Specific operating units are functioning ... present fairly the results of operations. d. Internal control is adequately operating as designed
Last Answer : Specific operating units are functioning economically and efficiently
Description : Governmental auditing often extends beyond examinations leading to the expression of opinion on the fairness of financial presentation and includes audits of efficiency, economy, effectiveness, and also: a. Accuracy b. Evaluation c. Compliance d. Internal control
Last Answer : Compliance
Description : The internal auditing department's responsibility for deterring fraud is to a. Exercise operating authority over fraud prevention activities. b. Establish an effective internal control system. c. Maintain internal control. d. Examine and evaluate the system of internal contro
Last Answer : Examine and evaluate the system of internal contro
Description : What is the overall objective of internal auditing? a. To attest to the efficiency with which resources are used. b. Ascertain that the cost of internal control is justified. c. To ... and stockholders' equity. d. To help members of the organization to effectively discharge their responsibilities.
Last Answer : To help members of the organization to effectively discharge their responsibilities.
Description : Which of the following is an incorrect statement relating to the theoretical framework of auditing? a. Effective internal control structure reduces the probability of fraud or irregularities in ... collecting evidence, auditors should maintain an attitude of trust about their clients' assertions.
Last Answer : In collecting evidence, auditors should maintain an attitude of trust about their clients' assertions.
Description : Which of the following statements is an not an example of an inherent limitation of internal control? a. The effectiveness of control procedures depends on segregation of duties. b. ... nonroutine transactions. d. The cost-benefit relationship is a primary criterion in designing internal contro
Last Answer : The effectiveness of control procedures depends on segregation of duties
Description : A company forfeited 30 equity shares of Rs. 10 each fully called-up, for non-payment of allotment money of Rs. 3 and call-money of Rs. 4 per share. If these shares are reissued at Rs. 8 per share fully paid, the amount ... to capital reserve will be- (A) Rs. 300 (B) Rs. 60 (C) Rs. 90 (D) Rs. 30
Last Answer : Answer: Rs. 30
Description : Which audit is carried out during the accounting period with some interval, it is called– (A) periodic audit (B) partial audit (C) continuous audit (D) interim audit
Last Answer : Answer: continuous audit
Description : Sometimes an auditor is called upon to review the operations of an enterprise for evaluating their cost-effectiveness. What is this kind of audit generally known as ? (A) Cost Audit (B) Operations Audit (C) Tax Audit (D) Independent Financial Audit
Last Answer : Answer: Cost Audit
Description : When the existing companies raise additional funds by issue of shares to the existing shareholders in proportion to their existing shareholdings, it is called– (A) Buyback of shares (B) Issue of shares at premium (C) Issue of shares at discount (D) Right shares issue
Last Answer : Answer: Right shares issue
Description : A plan when expressed in quantitative terms is called– (A) Policy (B) Procedure (C) Objective (D) Budget
Last Answer : Answer: Budget
Description : Who is called ‘The Father of Scientific Management’ ? (A) Elton Mayo (B) Henry Fayol (C) E. F. L. Breach (D) F. W. Taylor
Last Answer : Answer: F. W. Taylor
Description : “A body of persons elected or appointed to meet on an organised basis for the discussion and dealing of matters brought before it.” It is called– (A) Functional organisation (B) Formal organisation (C) Committee organisation (D) Informal organisation
Last Answer : Answer: Committee organisation