A. Examination of journal & ledger
B. Examination of vouchers related to assets
C. Examining the physical existence & valuation of assets
D. Calculation of valuation of assets
✅ The correct answer is option C.
Auditing MCQs
Undervaluation of stock is –
A. Technical error
B. Compensatory error
C. Error of principle
D. none of these
✅ The correct answer is option C.
Banking Regulation Act was passed in the year–
A. 1912
B. 1949
C. 1956
D. 1955.
✅ The correct answer is option B.
Shares issued for consideration other than cash should be vouched with help of –
A. Directors minutes book
B. Shareholders minute’s book
C. Contract with the party concerned
D. Cash book
✅ The correct answer is option C.
The panel of Auditors of cooperative society is maintained by –
A. Charted Accountant
B. Central Government
C. Registrar
D. Shareholders
✅ The correct answer is option C.
Thevacancy caused by resignation of an auditor is filled by –
A. Board of directors
B. At the general meeting of shareholders
C. By the central government
D. By the company law board
✅ The correct answer is option B.
Voucher relates to:
A. Cash receipt.
B. Cash payment.
C. Credit transactions.
D. All the above.
✅ The correct answer is option A.
Valuation is the basis of :
A. Verification.
B. Marketing.
C. Internal checking.
D. Vouching.
✅ The correct answer is option A.
Which of the following is not a duty of an auditor?
A. Duty to report company’s banker
B. Duty to report to the members
C. Duty to sign the audit report
D. Duty to report on any violation of law
✅ The correct answer is option A.
Internal Auditing Standards are issued by the –
A. International Accounting Standard Board
B. Financial Accounting Standard Board
C. International Audit & Assurance Standard Board
D. Auditing Practices Board
✅ The correct answer is option C.