PRINCIPLES OF AUDITING MCQ QUESTIONS

1. __________ is a systematic examination of the books and records or a business.

• A. Auditing

• B. Vouching

• C. Verification.

• D. Checking.

2. Which of the following are not objectives of auditing?

• A. Ascertain the profit and preparation of P/L Account, Balance sheet.

• B. Detection and prevention of frauds and errors.

• C. Give a true and fair view of financial amount.

• D. To submits the accounts to Government of India.

3. Which of the following is not a kind of audit?

• A. Statutory and private audit.

• B. Government and continuous audit.

• C. Continuous, final, Interim, Cash, Cost and Management audit.

• D. None of these.

4. An audit which is compulsory by the law __________

• A. Government audit.

• B. Internal audit.

• C. Cost audit.

• D. Statutory audit.

5. Instruction of audit issued by controller and auditor general of India ________.

• A. statutory audit.

• B. final audit.

• C. management audit.

• D. government audit.

6. Audit done by the employees of the business undertaking is called _______.

• A. final audit.

• B. management audit.

• C. government audit.

• D. government audit.

7. This kind of audit is conducted generally between two annual audit ______

• A. internal audit.

• B. interim audit.

• C. final audit.

• D. continuous audit.

8. Management audit otherwise called as _______.

• A. final audit.

• B. efficiency audit.

• C. cost audit.

• D. cash audit.

9. Before the work of audit is commenced, the auditor plans out the whole of audit work is called _________.

• A. Audit plan.

• B. Audit note.

• C. Audit programme.

• D. Audit programme.

10. A number of checks and controls exercised in a business to ensure its efficient working is known as

________.

• A. Internal check.

• .B. Internal control

• C. Internal audit.

• D. Interim check.