MCQs on auditing in english and hindi (Part-4)

                         

MCQS On Auditing in English and Hindi  Part- 4 From Question No. 51 to 70

51. No business or institution can effectively carry on its activities without the help of proper________ a) Audit 

b) Records and accounts 

c) Neither (a) nor (b) 

d) Both (a) and (b) 

52. _______________ increases the revenue earning capacity of the business 

a) Capital expenditure

 b) Revenue expenditure

 c) Both (a) and (b) 

 d) Both (a) and (b) and deferred revenue expenditures 

53. The purpose of providing depreciation is

 a) Adherence to matching concept 

b) Keeping the capital invested in fixed asset intact 

c) Compliance with statutory requirement and presenting true and fair view 

d) All of these 

54. As per SA-200 “Overall Objectives of the Independent Auditor,” in conducting an audit of financial statements, the overall objectives of the auditor are: 

a) To obtain reasonable assurance 

b) To report on the financial statements 

c) Both (a) and (b) above 

d) None of the above 

55. The auditor cannot obtain an absolute assurance due to_________ 

a) Lack of accounting knowledge 

b) Lack of auditing knowledge

 c) Both (a) and (b) 

d) Inherent limitations of auditing 

56. The auditor’s __________ safeguard the auditor’s ability to form an audit opinion without being affected by any influences.

 a) Objectivity

 b) Independence 

c) Confidentiality 

d) Integrity 

57. SA Series 500-599 cover the aspects of_______ 

a) Introductory matters 

b) General Principles and Responsibilities

 c) Audit Evidence 

d) Audit Conclusion and Reporting 

58. SA Series 700-799 cover the aspects of ________ 

a) Introductory matters 

b) General Principles and Responsibilities 

c) Audit Evidence 

d) Audit Conclusion and Reporting 

59. SA Series 200-299 cover the aspects of 

 a) Introductory matters

 b) General Principles and Responsibilities 

c) Audit Evidence 

d) Audit Conclusion and Reporting 

60. SA Series 600-699 cover the aspects of 

 a) Using the work of others

 b) Audit Evidence 

c) Risk Assessment and Auditor’s Response 

d) Audit Conclusion and Reporting 

61. The______________ have been issued with a view to securing compliance by members on matters which, in the opinion of the Council, are critical for proper discharging of their functions. 

a) Statements

 b) Guidance Notes 

c) Standards on Audit 

d) All of these

62. _____________ are designed to provide guidance to members on the matters which may arise in the course of their professional work and on which they may desire assistance in resolving issues that may pose difficulty. 

a) Statements 

b) Guidance notes 

c) Standards on Audit 

d) All of these

 63. Guidance notes are 

a) Mandatory 

b) Recommendatory 

c) None of these 

64. Internal audit may cover the aspects_________ 

a) Financial 

b) Non-Financial 

c) Both (a) and (b) 

d) None of these 

65. Internal auditor is appointed by 

a) Management 

b) The shareholders

 c) CG 

d) External auditor 

66. The area of work is determined by management 

a) Insurance audit 

b) Sole proprietorship audit 

c) Internal audit 

d) Bank audit 

67. _________ audit assists the management in finding out new ideas for marketing and other business areas. 

a) Secretarial audit 

b) Insurance audit 

 c) Internal audit 

d) Tax audit 

68. An audit which is compulsory by law is called as

 a) Government Audit

 b) Internal Audit 

c) Cost Audit 

d) Statutory Audit 

69. For which of the following entities statutory audit of financial statement is not conducted 

a) Banking Companies

 b) Insurance Companies 

c) Partnership Firm 

d) One Person Company 

70. Accounting and 

Internal Control system are the responsibilities of: 

a) TCWG & Management of entity 

b) External Auditor of entity 

c) Internal Auditor of the entity 

d) All of above