How long is the auditor’s term of office?

Related Mcqs:

1. The term of the auditor ship of first auditor would be from the date of appointment till________?

   A. the conclusion of statutory meeting
   B. the conclusion of first annual general meeting
   C. the conclusion of next annual general meeting
   D. the date of removal

2. Assuming that it is not the first appointment of the auditor, who is responsible for the appointment of the auditor?

   A. The shareholders in a general meeting
   B. The managing director
   C. The board of directors in a board meeting
   D. The audit committee

3. The auditor has serious concern about the going concern of the company. It is dependent on company’s obtaining a working capital loan from a bank which has been applied for. The management of the company has made full disclosure of these facts in the notes to the balance sheet. The auditor is satisfied with the level of disclosure. He should issue___________?

   A. unqualified opinion
   B. unqualified opinion with reference to notes to the accounts
   C. qualified opinion
   D. disclaimer of opinion

4. When an auditor is proposed for removal from office, which one of the following is he NOT permitted to do?

   A. Circulate representations to members
   B. Apply to the court to have the proposal removed
   C. Speak at the AGM/EGM where the removal is proposed
   D. Receive notification of the AGM/EGM where the removal is proposed

5. If a casual vacancy in the office of auditor arises by his resignation it should only be filled by the company in a_________?

   A. Board meeting
   B. extraordinary general meeting
   C. General meeting
   D. annual general meeting

6. The authority to remove the first auditor before the expiry of term is with__________?

   A. the shareholders in a general meeting
   B. the shareholders in the first annual General meeting
   C. the board of directors
   D. the Central Government

7. Which one of the following is NOT a duty of the auditor?

   A. Duty to report to the company’s bankers
   B. Duty to report to the members
   C. Duty to sign the audit report
   D. Duty to report on any violation of law

8. The working papers which auditor prepares for financial statements audit are___________?

   A. Evidence for audit conclusions
   B. Owned by the client
   C. Owned by the auditor
   D. Retained in auditor’s office until a change in auditors

9. When applying analytical procedures, an auditor could develop independent estimate of an account balance to compare it to­___________?

   A. client’s unedited account balance
   B. client’s unedited account balance adjusted for trends in the industry
   C. Prior year audited balance
   D. Prior year audited balance adjusted for trends in the industry

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

    A. Directors of the company
    B. Members of the company
    C. The Central Government
    D. All of the above