hitechpathshala

Q. 1

Identify the most appropriate statement: -

SA 220 applies at the level of firm.

SQC 1 is premised on the basis that firm is subject to SA 220.

SA 220 is premised on the basis that firm is subject to SQC 1.

SA 220 applies to all engagements.

Q. 2

Professional skepticism includes-

Overlooking unusual circumstances.

Using inappropriate assumptions in determining extent of audit procedures.

Over generalising when drawing conclusions from audit observations.

Being vigilant to conditions that might indicate possibilities of fraud.

Q. 3

Which of the following is not a fundamental principle governing professional ethics?

Professional competence and due care

Integrity

Objectivity

Safeguards to independence

Q. 4

Which of the following is not necessary to establish preconditions for an audit?

Acceptability of financial reporting framework.

Acknowledgment of cooperation from management in designing audit procedures.

Acknowledgment from management of providing access to persons within company.

Acknowledgment of management in understanding its responsibility for preparation of financial statements.

Q. 5

Identify the most appropriate statement in context of SQC 1.

Assembly of engagement files should be completed in not more than 60 days after date of auditor’s report in case of audit engagements.

Engagement files should be completed before date of auditor’s report in case of audit engagements.

Engagement files should be completed in not more than 60 days after completion of an engagement.

Engagement files should be completed on date on which audit report is signed in case of audit engagements.

AUDIT 11TH