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    Expected Audit Questions

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    madhushrichandak
    This document provides an outline of expected questions for an audit exam on November 12. It covers a wide range of audit-related topics including: - The nature of auditing and concepts like auditor independence and material misstatements. - Topics related to audit procedures like vouching, verification of assets and liabilities, audit working papers, risk assessment, and using the work of internal auditors. - Internal control systems, EDP auditing, special audits of entities like partnership firms and hospitals. - Company audits, accounting standards, and provisions in financial statements. It provides an overview of the scope and breadth of concepts that may be covered in the exam.

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    Attribution Non-Commercial (BY-NC)
    Download as DOCX, PDF, TXT or read online from Scribd

    Expected Audit Questions

    Uploaded by

    madhushrichandak
    302 views3 pages
    This document provides an outline of expected questions for an audit exam on November 12. It covers a wide range of audit-related topics including: - The nature of auditing and concepts like auditor independence and material misstatements. - Topics related to audit procedures like vouching, verification of assets and liabilities, audit working papers, risk assessment, and using the work of internal auditors. - Internal control systems, EDP auditing, special audits of entities like partnership firms and hospitals. - Company audits, accounting standards, and provisions in financial statements. It provides an overview of the scope and breadth of concepts that may be covered in the exam.

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    Expected Questions for Nov 12

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    This document provides an outline of expected questions for an audit exam on November 12. It covers a wide range of audit-related topics including: - The nature of auditing and concepts like auditor independence and material misstatements. - Topics related to audit procedures like vouching, verification of assets and liabilities, audit working papers, risk assessment, and using the work of internal auditors. - Internal control systems, EDP auditing, special audits of entities like partnership firms and hospitals. - Company audits, accounting standards, and provisions in financial statements. It provides an overview of the scope and breadth of concepts that may be covered in the exam.

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    302 views3 pages

    Expected Audit Questions

    Uploaded by

    madhushrichandak
    This document provides an outline of expected questions for an audit exam on November 12. It covers a wide range of audit-related topics including: - The nature of auditing and concepts like auditor independence and material misstatements. - Topics related to audit procedures like vouching, verification of assets and liabilities, audit working papers, risk assessment, and using the work of internal auditors. - Internal control systems, EDP auditing, special audits of entities like partnership firms and hospitals. - Company audits, accounting standards, and provisions in financial statements. It provides an overview of the scope and breadth of concepts that may be covered in the exam.

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
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    ACCOUNTING ACADEMY 2520030

    CA.RAVI TAORI 9322011915

    Expected questions in Audit Nov 12


    NATURE OF AUDITING
    1. Relationship between auditing & behavioral sciences -It involves interaction with all kind of people from clerk to director -Deploying/Motivating/Supervising/Review people is involved 2. Auditor Independence -Dont come under pressure and give wrong report -Dont be dishonest for personal gain (bribe) -Ethics/Co Law/CA Act/CA Regulations are framed to protect independence 3. Some material misstatement remains unreported by the auditor. -If Audit is planned, performed, evidence collected, proper conclusion, reporting then auditor is not responsible -If audit is performed negligently then he will be responsible for professional misconduct 4. Auditing is a technique of accounting control -Explain accounting/auditing -Auditing starts when accounting ends -Auditing ensures accounting is properly done 5. Importance of having accounts audited by independent professional auditor -Explain split between ownership & management -Auditor is caretaker of share holders money -Benefits of audit

    AUDIT REPORT
    1. 2. 3. Sufficient information not collected before giving opinion Applicability of CARO Item to considered by auditor of a limited company company us 227(1A)

    VOUCHING& VERIFICATION OF ASSET & LIABILITY


    1. 2. 3. 4. 5. 6. 7. 8. 9. Sale of scrap Borrowing from bank Recovery of bad debt written off Cut off procedure Agents commission Floating asset Remuneration to directors Increase gross profit(steps to be taken by auditor ) Packages & empties

    1|Page

    ACCOUNTING ACADEMY 2520030 10. Preliminary expenses 11. Provision for taxation 12. Payment controlled by companies act 1956 13. Bankruptcy dividend 14. discounted bill receivable dishonored 15. Railway sliding 16. Verify ship 17. No need to check stock if op and cl stock is same

    CA.RAVI TAORI 9322011915

    SAs
    1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. SA 200 Explain Audit Objective? SA 210 Engagement Letter SA 230 Audit Working Paper SA 230 Audit Note Book SA 230 Working paper & preservation of working paper 300(Audit planning & procedure) SA 300 Audit programme SA315 Risk Assessment SA 500 Audit Evidence, Which evidence is more reliable? SA 505 Positive Confirmation, When is it required ? SA 560 Subsequent Event SA 600 Using work of another auditor SA 610 Using work of internal auditor SA 710 Auditor responsibility regarding comparative

    INTERNAL CONTROL SYSTEM


    1. Internal control over large textile mill - Explain good process of purchase & issue of material -Importance of stock count and its implication b. Internal Check and Its Examples 2. Evaluation of internal control over after sale service. -Terms & Nature of after sale service -Record of services rendered 3. Services should be as per coupon issued or time period -Cost of parts and labour should be as per contract 4. Dummy worker in wage sheet (detect such fraud) 5. Difference between internal control questionnaires & internal control evolution

    2|Page

    ACCOUNTING ACADEMY 2520030

    CA.RAVI TAORI 9322011915

    EDP
    1. 2. Objectives of audit dont change in CIS Environment Approaches to EDP auditing.

    SPECIAL AUDIT
    1. 2. 3. 4. 5. 6.
    Partnership firm(advantages) Cinema Theater Building Contractor Audit Of NGO Government Audit (Audit Of Sanction & Power& Audit Of Receipts) Hospital

    AS
    1. 2. 3. 4. As 10 Treatment Of Subsequent Expenditure Like Alteration Of Building As 5 Prior Period Item Fundamental Accounting Assumptions(AS 1) Disclosure of accounting policy (AS 1)

    COMPANY AUDIT
    1. Removal Of Auditor 2. Branch Audit (Power & Duties) 3. Issue Of Shares For Consideration Other Than Cash 4. Declaration Of Dividend 5. Personal Expenses Of Director Included In Company Expenses 6. Appointment & Reappointment Of Auditor 7. Power & Duties Of Statutory Auditor 8. Adjustment Of Loss With Revenue Reserve 9. Requirement Of PART I ,Schedule VI Relating To 10. Reserve & Surplus 11. Current Liability & Provision 12. Can A Construction Company Pay Interest Out Of Capital Legally? If So, Mention The Various Condition Under Which It Can Do So?

    3|Page

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