AUDITING

An Auditor can hold the audit of not more than ------- companies

• 20

• 15

• 10

• 30

Auditing means

• Detection and prevention of frauds

• Detection and prevention of errors

• Detection and prevention of errors and frauds

• Controlling of accounts

The liability of auditor can be

• Only civil

• Only criminal

• Either civil and criminal

• Civil and /or criminal

The first auditor of a company will hold office

• For a period of one year

• Till holding of statutory meeting

• Till the conclusion of first annual general meeting

• Till a new auditor is appointed

The primary purpose of establishing quality control policies and procedures for deciding on client evaluation is to-

• ensure adherence to generally accepted auditing standards

• acceptance or retention of clients whose management does not lack integrity

• ensure audit fees is charged according to the type of audit work assigned

• all of the above

Which of the following factors is most important in determining the appropriations of audit

evidence?

• The reliability of audit evidence and its relevance in meeting the audit objective

• The objectivity and integrity of the auditor

• The quantity of audit evidence

• The independence of the source of evidence

When is evidential matter, generally, considered sufficient?

• When it constitutes entire population

• When it is enough to provide a basis for giving reasonable assurance regarding

  truthfulness

• When it is objective and relevant

• When auditor collects and evaluates it independently

Who is responsible for the appointment of statutory auditor of a limited company?

• Directors of the company

• Members of the company

• The Central Government

• All of the above

Which of the following sections deal with qualifications of the auditor?

• Section 141(1)

• Section 104 (1) and section 224 (2)

• Section 226 (3) and section 226(4)

• Section 224(3) & Sec.224

If a casual vacancy in the office of auditor arises by his resignation it should only be filled

by the company in a

• Board meeting

• extraordinary general meeting

• General meeting

• Annual general meeting