Management Sciences MCQs
These Management Sciences MCQs are for public service commission exams and BBA, and MBA students to prepare for their examinations. All MCQs are prepared after having a look at past papers of public service commission examinations held from time to time. These Management Science questions are very important for all types of tests conducted by FPSC, NTS, KPPSC, PPSC, SPSC, BPSC, OTS, UTS, PTS, CTS, ATS, STS, ETEA, and other testing agencies of Pakistan.
When issuing unqualified opinion, the auditor who evaluates the audit findings should be satisfied that the___________?
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
Estimates of the total likely misstatement is less than materiality level
Analytical procedures issued in the planning stage of an audit, generally
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
All of the above
Verification refers to_________?
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.
Examining the physical existence and valuation of assets.
Stock should be valued at_________?
A: Cost
B: Market price
C: Cost or Market price whichever is lower.
D: Cost less depreciation.
Cost or Market price whichever is lower.
Floating assets are valued at____________?
A: cost
B: Market price
C: Cost or market price whichever is lower
D: Cost less depreciation
Cost or market price whichever is lower
Goods sold on the basis of ˜sales or return ˜ should:
A: Be included in the stock
B: Not be included in the stock
C: Not be checked by auditor
D: None of the above
Be included in the stock
Which of the following statements is, generally, correct about the reliability of audit evidence?
A: To be reliable, evidence should conclusive rather than persuasive
B: Effective internal control system provides reliable audit evidence
C: Evidence obtained from outside sources routed through the client
D: All are correct.
Effective internal control system provides reliable audit evidence
In an audit of financial statements, substantive tests are audit procedures that __________?
A: May be eliminated for an account balance under certain conditions
B: Are designed to discover significant subsequent events
C: Will increase proportionately when the auditor decreases the assessed level of control risk
D: May be test of transactions, test of balance and analytical procedures
May be test of transactions, test of balance and analytical procedures
Errors of Omission are_____________?
A: Technical errors
B: Errors of principle
C: Compensating errors
D: None of the above
Technical errors
Internal check is carried on by___________?
A: Staff specially appointed for the purpose
B: Internal auditor
C: Supervisor of the staff
D: Members of the staff
Members of the staff