Q. The liabilities of an auditor can be ________.
✅ Correct Answer: (C)
Civil & Criminal
Audit Taxation MCQs and Notes
Q. When a transaction has not been recorded in the books of account either wholly or partially such errors are called _______.
✅ Correct Answer: (B)
Error of omission
Q. Audit means _______.
✅ Correct Answer: (C)
Examination of books, accounts or vouchers
Q. The audit that is made compulsory under statute is called ________
✅ Correct Answer: (A)
Statutory audit
Q. If an auditor is not appointed at annual general meeting, he is appointed by the
✅ Correct Answer: (A)
The Central Government
Q. Civil liability of an auditor implies liability for
✅ Correct Answer: (D)
Misfeasance
Q. ……………….. is a method of organising the accounting system of a business concern or a factory by which the duties of various clerks are arranged in such a way that the work of one person is automatically checked by another.
✅ Correct Answer: (B)
Internal check
Q. ………………… is the specific guidelines and directions for efficient and effective completion of the audit work on timely and daily basis, so as to minimise audit risk.
✅ Correct Answer: (A)
Audit planning
Q. ……………….is the medium through which an auditor expresses his opinion on the state of affairs of the client’s business.
✅ Correct Answer: (A)
Audit report