A. Checking the vouchers
B. Preparation of vouchers
C. Evaluation of internal control
D. None of the above
Submitted by: ALIYA NAWAZ
Auditors do not prepare the vouchers , it is not his duty or responsibility to do so.His business is to evaluate the internal control, check, vouch and verify the vouchers.
Related Mcqs:
- The term ‘Audit’ is derived from a Latin word “audire” which means___________?
A. To inspect
B. To examine
C. To hear
D. To investigate - The fundamental objective of the audit of a company is to_____________?
A. Protect the interests of the minority shareholders
B. Detect and prevent errors and fraud
C. Assess the effectiveness of the company’s performance
D. Attest to the credibility of the company’s accounts - Which of the following are you unlikely to see in the current file of auditors’ working papers?
A. Memorandum & articles of association
B. Audit planning memorandum
C. Summary of unadjusted errors
D. Details of the work done on the inventory count - Audit in depth is synonymous for____________?
A. Complete audit
B. Completed audit
C. Final audit
D. Detailed audit - 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 - The auditor’s permanent working paper file should not normally, include__________?
A. Extracts from client’s bank statements
B. Past year’s financial statements
C. Attorney’s letters
D. Debt agreements - Which of the following statements is not true about continuous audit?
A. It is conducted at regular interval
B. It may be carried out on daily basis
C. It is needed when the organization has a good internal control system
D. It is expensive - 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 - Which one of the following is part of the auditor’s function?
A. Conducting the inventory count
B. Obtaining and evaluating audit evidence on the financial statements
C. Calculating the year-end accruals figure for inclusion in the accounts
D. Providing representations to management - Which of the following is not type of engagement standard?
A. Standards on Auditing
B. Standard on Quality Control
C. Standards on Review Engagement
D. Standards on Assurance EngagementSubmitted by: ALIYA NAWAZ
