Auditing MCQs

A: Curtailment of expenses

B: Checking of Wastages

C: Under valuation of assets

D: Over Valuation of assets

A: Testing of accounts and records

B: Checking of selected number of transactions

C: Examination of adjusting and closing entries

D: Checking of all transactions recorded

A: Lower, Higher, Lower

B: Higher, Lower, Lower

C: Lower, Higher, Higher

D: Lower, Lower, Higher

A: Amount of known misstatement is documented in working papers

B: Estimates of the total likely misstatement is less than materiality level

C: Estimate of the total likely misstatement is more than materially level

D: Estimates of the total likely misstatement cannot be made

A: Helps to determine the nature, timing and extent of other audit procedures

B: Directs attention to potential risk areas

C: Indicates important aspects of business

D: All of the above

A: Examining the physical existence and valuation of assets.

B: Examining the journal and ledger

C: Examination of vouchers related to assets.

D: None of the above.

A: Cost

B: Market price

C: Cost or Market price whichever is lower.

D: Cost less depreciation.

A: Staff specially appointed for the purpose

B: Internal auditor

C: Supervisor of the staff

D: Members of the staff

A: Technical errors

B: Errors of principle

C: Compensating errors

D: None of the above

A: Statutory audit

B: Balance sheet audit

C: Concurrent audit

D: All of the above