Marks 37.00/40.

00
Grade 92.50 out of 100.00
Question 1
Correct
Mark 1.00 out of 1.00

Flag question

Question text
Legal environment of the firm, management philosophy, and organizational structure.

Select one:

a.
Comparatives

b.
Audit Sampling

c.
Using the Work of an Expert

d.
the Auditor’s Report on Financial Statements
Feedback
Your answer is correct.

Question 2
Correct
Mark 1.00 out of 1.00

Flag question

Question text
Transactions and events have been recorded in the correct accounting period.
Select one:

a.
Accuracy

b.
Existence

c.
Cutoff

d.
Accuracy and valuation

Feedback
Your answer is correct.

Question 3
Correct
Mark 1.00 out of 1.00

Flag question

Question text
The erstwhile Auditing and Assurance Standard (AAS) 16, issued by the Institute in
1998.

Select one:

a.
Comparatives

b.
Using the Work of an Expert

c.
Audit Sampling

d.
Using the Work of an Expert

Feedback
Your answer is correct.

Question 4
Incorrect
Mark 0.00 out of 1.00

Flag question

Question text
The erstwhile Auditing and Assurance Standard (AAS) 15, issued by the Institute in 1998.

Select one:

a.
Internal audit function

b.
Audited Financial

c.
Advance Auditing

d.
Audit Sampling
Feedback
Your answer is incorrect.

Question 5
Correct
Mark 1.00 out of 1.00

Flag question

Question text
The erstwhile Auditing and Assurance Standard (AAS) 16,issued by the Institute in 1998.

Select one:

a.
Going Concern

b.
Representations by Management

c.
Internal audit function

d.
Internal auditors

Feedback
Your answer is correct.

Question 6
Correct
Mark 1.00 out of 1.00

Flag question

Question text
The entity holds or controls the rights assets and liabilities are the obligations of the entity.
Select one:

a.
Accuracy

b.
Rights and Obligations

c.
Existence

d.
Accuracy and valuation

Feedback
Your answer is correct.

Question 7
Correct
Mark 1.00 out of 1.00

Flag question

Question text
Corporate directors, management, external auditors, and internal auditors all play important
roles in creating a proper control environment. Top management is primarily responsible for

Select one:

a.
Establishing a proper environment and specifying overall internal control

b.
Reviewing the reliability and integrity of financial information and the means used to collect and
report such information.

c.
Implementing and monitoring controls designed by the board of directors.

d.
Ensuring that external and internal auditors adequately monitor the control environment.

Feedback
Your answer is correct.

Question 8
Correct
Mark 1.00 out of 1.00

Flag question

Question text
According to PSA 400, which of the following is correct regarding internal control system?

Select one:

a.
A strong environment, by itself, ensure the effectiveness of the internal control system.

b.
In the audit of financial statements, the auditor is only concerned with those policies and
procedures within the accounting and internal control systems that are relevant to the financial
statements.

c.
The internal control system is confined to those matters which relate directly to the functions of
the accounting system.

d.
Internal control system refers to all the policies and procedures adopted by the auditor to assist
in achieving management’s objective.
Feedback
Your answer is correct.

Question 9
Correct
Mark 1.00 out of 1.00

Flag question

Question text
Transactions and events that have been recorded have occurred and pertain to the entity.

Select one:

a.
Occurrence

b.
Classification

c.
Existence
Feedback
Your answer is correct.

Question 10
Correct
Mark 1.00 out of 1.00

Flag question

Question text
A document issued by an entity, ordinarily on an annual basis, which includes its financial
statements together with the auditor’s report thereon
ANNUAL REPORT
Answer:

Question 11
Incorrect
Mark 0.00 out of 1.00

Flag question

Question text
The financial reporting framework adopted by management and, where appropriate, those
charged with governance in the preparation of the financial statements that is acceptable in
view of the nature of the entity
and the objective of the financial statements
Answer:

Question 12
Correct
Mark 1.00 out of 1.00

Flag question

Question text
The erstwhile Auditing and Assurance Standard (AAS) 15, issued by the Institute in
1998.

Select one:

a.
Advance Auditing

b.
Audited Financial
c.
Internal audit function

d.
Audit Sampling

Feedback
Your answer is correct.

Question 13
Correct
Mark 1.00 out of 1.00

Flag question

Question text
It deals with additional communication in the auditor's report when the auditor considers it
necessary to: Draw user's attention to a matter or matters presented.

Select one:

a.
Independent Auditor's Report

b.
Comparative Information

c.
Assurance Standard

d.
Advance Auditing
Feedback
Your answer is correct.
Question 14
Correct
Mark 1.00 out of 1.00

Flag question

Question text
Assurance Standard (AAS) 19, issued by the Institute in 2000.

Select one:

a.
Going Concern

b.
Engagement Quality Control

c.
the Auditor’s Report on Financial Statements

d.
Subsequent Events
Feedback
Your answer is correct.

Question 15
Correct
Mark 1.00 out of 1.00

Flag question

Question text
The Central Government in case the maximum rate of discount should exceed
10 PERCENT
Answer:

Question 16
Correct
Mark 1.00 out of 1.00

Flag question

Question text
Risks of material statements can be assessed and identified with the following,except one;

Select one:

a.
Based on an understanding of the entity

b.
Due to fraud or error

c.
Professional skepticism

d.
Entity'd internal control
Feedback
Your answer is correct.

Question 17
Correct
Mark 1.00 out of 1.00

Flag question

Question text
Auditing and Assurance Standard (AAS) 25, Issued by the Institute in 2002.

Select one:

a.
Advance Auditing

b.
Audited Financial

c.
Comparatives

d.
Corresponding figures
Feedback
Your answer is correct.

Question 18
Correct
Mark 1.00 out of 1.00

Flag question

Question text
Which of the following is correct about internal control?

Select one:

a.
One of the inherent limitations of accounting and internal control systems is the possibility that
the procedures may become inadequate due to changes in conditions, and compliance with
procedures may deteriorate.

b.
Management does not consider costs of the accounting and internal control systems.

c.
Accounting and internal control systems provide management with conclusive evidence that
objectives are reached.
d.
Most internal controls tend to be directed at non-routine transactions.
Feedback
Your answer is correct.

Question 19
Correct
Mark 1.00 out of 1.00

Flag question

Question text
Assets, liabilities, and equity interests exist.

Select one:

a.
Accuracy

b.
Cutoff

c.
Existence

d.
Accuracy and valuation
Feedback
Your answer is correct.

Question 20
Correct
Mark 1.00 out of 1.00
 Flag question

Question text
Is a revised version of the erstwhile Auditing and Assurance Standard (AAS) 17

Select one:

a.
External Confirmations

b.
Misstatement” and “Uncorrected misstatements”

c.
Audit Evidence

d.
Analytical Procedures

Feedback
Your answer is correct.

Question 21
Correct
Mark 1.00 out of 1.00

Flag question

Question text
It deals with additional communication in the auditor's report when the auditor considers it
necessary to: Draw user's attention to a matter or matters presented.

Select one:
a.
Comparative Information

b.
Assurance Standard

c.
Independent Auditor's Report

d.
Advance Auditing
Feedback
Your answer is correct.

Question 22
Correct
Mark 1.00 out of 1.00

Flag question

Question text
In an audit of financial statements, an auditor’s primary consideration regarding a control is
whether it

Select one:

a.
Provides adequate safeguards over access to assets

b.
Affects management’s financial statement assertions.

c.
Enhances management’s decision-making processes.
d.
Reflects management’s philosophy and operating style.
Feedback
Your answer is correct.

Question 23
Correct
Mark 1.00 out of 1.00

Flag question

Question text
Transactions and events have been recorded in the proper accounts.

Select one:

a.
Classification

b.
Accuracy and valuation

c.
Existence
Feedback
Your answer is correct.

Question 24
Correct
Mark 1.00 out of 1.00

Flag question

Question text
Is a revised version of the erstwhile Auditing and Assurance Standard (AAS) 13?

Select one:
a.
Deficiency in internal control

b.
Audit Evidence

c.
“Misstatement” and “Uncorrected misstatements"

d.
Audit Materiality
Feedback
Your answer is correct.

Question 25
Correct
Mark 1.00 out of 1.00

Flag question

Question text
Financial information is appropriately presented and disclosures clearly expressed.

Select one:

a.
Accuracy and valuation

b.
Accuracy

c.
Existence

d.
Classification and understandability
Feedback
Your answer is correct.

Question 26
Correct
Mark 1.00 out of 1.00

Flag question

Question text
Effective internal control

Select one:

a.
Cannot be circumvented by management

b.
Eliminates risk and potential loss to the organization.

c.
Is unaffected by changing circumstances and conditions encountered by the organization.

d.
Reduces the need for management to review exception reports on a day-to-day basis.
Feedback
Your answer is correct.

Question 27
Correct
Mark 1.00 out of 1.00
 Flag question

Question text
The books of account and other books and papers shall be open to inspection by
any director during business hours
Answer:

Question 28
Correct
Mark 1.00 out of 1.00

Flag question

Question text
The erstwhile Auditing and Assurance Standard (AAS) 16, issued by the Institute in
1998.

Select one:

a.
Going Concern

b.
Internal audit function

c.
Internal auditors

d.
Representations by Management
 Feedback
Your answer is correct.

Question 29
Correct
Mark 1.00 out of 1.00

Flag question

Question text
Is a revised version of the erstwhile Auditing and Assurance Standard (AAS) 13?

Select one:

a.
Audit Materiality

b.
Deficiency in internal control

c.
“Misstatement” and “Uncorrected misstatements”

d.
Audit Evidence

Feedback
Your answer is correct.

Question 30
Correct
Mark 1.00 out of 1.00

Flag question
 Question text
Auditing and Assurance Standard (AAS) 25, Issued by the Institute in 2002.

Select one:

a.
Advance Auditing

b.
Comparatives

c.
Audited Financial

d.
Corresponding figures

Feedback
Your answer is correct.

Question 31
Correct
Mark 1.00 out of 1.00

Flag question

Question text
Is a revised version of the erstwhile Auditing and Assurance Standard (AAS) 5?

Select one:

a.
Audit Evidence
b.
Analytical Procedures

c.
“Misstatement” and “Uncorrected misstatements”

d.
External Confirmations
Feedback
Your answer is correct.

Question 32
Correct
Mark 1.00 out of 1.00

Flag question

Question text
Have made the acceptance of the position of auditor in a company somewhat difficult
before acceptance of the appointment
Answer:

Question 33
Correct
Mark 1.00 out of 1.00

Flag question

Question text
Amounts and other data relating to recorded transactions and events have been recorded
appropriately,
Select one:

a.
Completeness

b.
Accuracy

c.
Accuracy and valuation

d.
Cutoff
Feedback
Your answer is correct.

Question 34
Correct
Mark 1.00 out of 1.00

Flag question

Question text
Was called upon to intimate his willingness or otherwise to accept the assignment pursuant to
the resolution of the Board of Directors
The Counsel’s opinion
Answer:

Question 35
Correct
Mark 1.00 out of 1.00

Flag question

Question text
Evaluations of financial information through analysis of plausible relationships among both
financial and nonfinancial data
analytical procedure
Answer:

Question 36
Incorrect
Mark 0.00 out of 1.00

Flag question

Question text
Must maintain proper books of account relating to transactions effected at the branch office,
also arrange to obtain from
branch proper summarized returns, at intervals of not more than three months, for bein
Answer:

Question 37
Correct
Mark 1.00 out of 1.00

Flag question

Question text
Who will be under the discipline of a professional body, viz?
the Institute of Chartered Accountants of India
Answer:

Question 38
Correct
Mark 1.00 out of 1.00

Flag question

Question text
Assurance Standard (AAS) 19, issued by the Institute in 2000.

Select one:
a.
the Auditor’s Report on Financial Statements

b.
Subsequent Events

c.
Engagement Quality Control

d.
Going Concern
Feedback
Your answer is correct.

Question 39
Correct
Mark 1.00 out of 1.00

Flag question

Question text
A misstatement or deviation that is demonstrably not representative of misstatements or
deviations in a population
ANOMALY
Answer:

Question 40
Correct
Mark 1.00 out of 1.00

Flag question

Question text
Disclosed events, transactions, and other matters have occurred and pertain to the entity.
Select one:

a.
Classification

b.
Occurrence and rights and obligations

c.
Occurrence

Feedback
Your answer is correct.