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Auditing Vocabulary

Total questions: 32

Worksheet time: 16mins

Name
Class
Date
1.

"Designed and conducted solely to define or judge current service" Is this:

a)

Audit

b)

Research

c)

Evaluation

2.

What comes first.....

a)

Identify best practices

b)

Setting standards

3.

"Measures against a standard" Is this.....

a)

Audit

b)

Evaluation

c)

Research

4.

Why might you do an audit

a)

There's been an incident / complaint

b)

Evidence is required

c)

There could be a cost / risk to a patient / the organisation

5.

Audit Questions must be:

a)

Specific

b)

Easy

c)

Yes/No

6.

Who is responsible for updating the action plan?

a)

You the auditor

b)

The person who's completing the actions

c)

Your Manager

d)

The audit Committee Chair

7.

Who do you share your findings with?

a)

The audit committee

b)

Your mum

c)

People who may need to complete actions

d)

Colleagues

8.

Disclaimer means no opinion is given by auditors on financial statements.

a)

True

b)

False

9.

There are only two types of opinions that can be given on financial statements.

a)

True

b)

False

10.

An unqualified audit report is given by unqualified auditors.

a)

True

b)

False

11.

The internal auditor is appointed by the directors.

a)

True

b)

False

12.

Which auditor works within the company?

a)

Internal Auditor

b)

Independent auditor

c)

External auditor

d)

Qualified auditor

13.

Who appoints the independent auditor?

a)

Shareholders

b)

Directors

c)

Bank manager

d)

SAIPA

14.

Which will not form part of the companies annual report?

a)

Income Statement

b)

Balance sheet

c)

List of employees

d)

Audit report

15.

The independent auditor will not:

a)

Inspect the companies books

b)

Check that Internal controls are adhered to

c)

Compile all statements

d)

Say whether the statements are reliable

16.

How many types of opinions can be given by auditors on a company’s financial

statements?

a)

1

b)

2

c)

3

d)

4

17.

Which audit opinion is most favourable for companies?

a)

Unqualified

b)

Qualified

c)

Disclaimer

18.

Who appoints the independent auditor?

a)

Shareholders

b)

SAIPA

c)

Directors

19.

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 the Government

20.

Which of the following is not a kind of audit?

a)

Statutory and private audit

b)

Government and continuous audit.

c)

final, Interim, Cash, Cost and Management audit


d)

None of these.

21.

An audit which is compulsory by the law __________.

a)

Government audit.

b)

Internal audit.

c)

Cost audit.

d)

Statutory audit.

22.

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

a)

final audit.

b)

management audit.

c)

government audit.

d)

company audit

23.

Management audit otherwise called as _______.

a)

final audit.

b)

efficiency audit.

c)

cost audit.

d)

cash audit.

24.

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.

25.

Voucher relates to _________.

a)

cash receipt.

b)

cash payment.

c)

credit transactions.

d)

all the above.

26.

Internal check is meant for ___________.

a)

prevention of frauds.

b)

detection of frauds


c)

helping audit is depth.

d)

detection of errors.

27.

Internal auditor is appointed by ________.

a)

the management.

b)

the shareholders

c)

the government.

d)

he statutory body.

28.

Auditing begins where ______ ends.

a)

Selling.

b)

inventory valuation.

c)

Accounting.

d)

Purchases.

29.

Each of the three parties involved in an audit ......................... plays a role that contributes to its success.

a)

the client, the auditor, and the auditeer

b)

the client, the auditor, and the audit

c)

the client, the moderator, and the auditee

d)

the client, the auditor, and the auditee

30.

assets, liabilities, and equity interests are included in the financial statements at appropriate amounts and any resulting valuation or allocation adjustments are appropriately recorded

a)

Completeness

b)

Existence

c)

Valuation and Allocation

d)

Occurrence

31.

the inspection of documentary evidence supporting and substantiating a transaction, by an auditor

a)

VOUCHING

b)

TRACING

c)

SAMPLING

d)

VERIFYING

32.

An attitude that includes a questioning mind and a critical assessment of audit evidence

a)

Skill

b)

Accuracy

c)

Independent

d)

Professional skepticism