Institute of Chartered Accountants of Pakistan was established in____________?

Related Mcqs:

1. For which step of accounting process the accountants of business entity prepare financial statements?

   A. Identification of economic event
   B. Communication of financial information
   C. Recording financial information
   D. Making decisions about business

2. Which of the following are fundamental ethical principles for professional accountants?
   1 Competence
   2 Compliance
   3 Integrity
   4 Objectivity

   A. 1, 2 and 3 only
   B. 1, 3 and 4 only
   C. 2, 3 and 4 only
   D. 1, 2 and 4 only

3. Investment in own share A/c appears in____________?

   A. Asset side
   B. Liability side
   C. Netted from Capital
   D. Profit & Loss A/c

4. Auditing is what?

   A. Reporting the financial information
   B. Examination of financial statements
   C. Preparation financial statements
   D. maintaining the ledger records

5. In Pakistan, balance sheet audit is synonymous to___________?

   A. Annual audit
   B. Continuous audit
   C. Detailed audit
   D. Statutory audit

6. Errors of Omission are_____________?

   A. Technical errors
   B. Errors of principle
   C. Compensating errors
   D. None of the above

7. In determining the level of materiality for an audit, what should not be considered?

   A. Prior year’s errors
   B. The auditor’s remuneration
   C. Adjusted interim financial statements
   D. Prior year’s financial statements

8. Of the following, which is the least persuasive type of audit evidence?

   A. Bank statements obtained from the client
   B. Documents obtained by auditor from third parties directly.
   C. Carbon copies of sales invoices inspected by the auditor
   D. Computations made by the auditor

9. Which of the following is not corroborative evidence?

   A. Minutes of meetings
   B. Confirmations from debtors
   C. Information gathered by auditor through observation
   D. Worksheet supporting consolidated financial statements

10. Which of the following statement best describes the understanding with respect to ownership and custody of working papers prepared by an auditor?

    A. The working papers may be obtained by third parties when they appear to be relevant to issues raised in litigation
    B. The safe custody of working papers is the responsibility of client, if kept at his premises
    C. The working papers must be retained by an audit firm for a period of 10 years
    D. Successor auditors may have access to working papers of the predecessor auditors. The approval of client is not required.