Auditing Objective Questions and Answers

337. Which of the following is NOT a part of Basic Audit Assumption?

338. The inventory consists of about one per cent of all assets. The client has imposed restriction on auditor to prohibit observation of stock take. The auditor cannot apply alternate audit procedures.

A. Unqualified opinion

B. Qualified opinion

C. Disclaimer of opinion

D. Adverse opinion

Discussion

339. Schedule II of the Companies Act, 2013 has prescribed rates of depreciation for double shift and triple shift working for which one of the following assets?

A. Building

B. Plant and Machinery

C. Furniture and fittings

D. Ships

Discussion

340. The step(s) involved in conducting system audit is/are

A. Audit evidence

B. Conduct audit tests

C. Concluding the audit

D. All of these

Discussion

341. The subsidiary voucher produced in the absence of primary voucher is called