Q. Gross National income is always more than Net National income because it includes:
✅ Correct Answer: (B)
Capital consumption allowance
Auditing MCQs and Notes
Q. Present value of net cash inflows Rs. 37, 304; Initial capital outlay Rs. 32,000. Excess present value profitability index is:
✅ Correct Answer: (A)
1.17
Q. Tracing selected shipments to the sales journal to be sure that each one is included is a test of which of the following?
✅ Correct Answer: (A)
Accuracy
Q. Which of the following factors would least likely affect the quantity and content of an auditor’s working papers
✅ Correct Answer: (D)
The content of management represented letter
Q. Quick assets include which of the following?
✅ Correct Answer: (D)
Both a and c
Q. Which one of the following is the method of assessing the internal control system of an entity:
✅ Correct Answer: (A)
Audit procedures