Audit TP -01

Audit – Test Paper 1
Time : 1 Hr Max.                                                                                                                                                              Marks: 200

Each correct answer carries 4 marks while 1 mark will be deducted for each incorrect answer.

  1. None of the following persons shall be qualified for the appointment as auditor of a company:
    (a) A body corporate
    (b) An officer or employee of the company
    (c) A person who is partner or who is in the implement of an officer
    (d) All of the above
  2. When the auditor is satisfied as to the fairness of the balance sheet and P/L A/c, he will give a:
    (a) Qualified report
    (b) Clean and and unqualified report
    (c) General report
    (d) None of the above
  3. Audit means ______________.
    (a) Recording business transactions
    (b) Preparing the final accounts
    (c) Examination of books accounts,vouchers etc.
    (d) Preparing final accounts
  4. Auditor shall report on the accounts examined by him _________________.
    (a) To the shareholders
    (b) To the court
    (c) To the bank
    (d) To the general public
  5. Verification of the value of assets, liabilities the balance of reserves, provision and the amount of profit earned or loss suffered a firm is called _________________.
    (a) Continuous Audit
    (b) Balance Sheet Audit
    (c) Interim Audit
    (d) Partial Audit