MCQOPTIONS
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MCQOPTIONS
This section includes 267 Mcqs, each offering curated multiple-choice questions to sharpen your Finance & Accounting knowledge and support exam preparation. Choose a topic below to get started.
| 251. |
Verification of the value of assets, liabilities, the balance of reserves, provision and the amount of profit earned or loss suffered a firm is called _________. |
| A. | Continuous audit. |
| B. | Balance sheet audit |
| C. | Interim audit. |
| D. | Partial audit. |
| Answer» C. Interim audit. | |
| 252. |
When a transaction has not been recorded in the books of account either wholly or partially such errors are called as _________. |
| A. | Error of commission |
| B. | Error of omission. |
| C. | Compensating error. |
| D. | Error of principle. |
| Answer» C. Compensating error. | |
| 253. |
Secret reserve can be created by _______________. |
| A. | public limited company only |
| B. | banking and financial companies only. |
| C. | private limited company only. |
| D. | co-operative societies |
| Answer» C. private limited company only. | |
| 254. |
Sale of land is a __________. |
| A. | revenue receipt. |
| B. | capital receipt. |
| C. | capital expenditure. |
| D. | revenue expenditure |
| Answer» C. capital expenditure. | |
| 255. |
Auditor shall report on the accounts examined by him __________. |
| A. | to the shareholders. |
| B. | to the court. |
| C. | to the bank. |
| D. | to the general public. |
| Answer» B. to the court. | |
| 256. |
Audit means ___________. |
| A. | recording business transactions. |
| B. | preparing the final accounts. |
| C. | examination of books, accounts, vouchers etc |
| D. | preparing final accounts. |
| Answer» D. preparing final accounts. | |
| 257. |
Confirmation of the court is necessary for __________. |
| A. | increasing the share capital. |
| B. | reduction of share capital |
| C. | conversion of shares into stock. |
| D. | issue of new shares. |
| Answer» C. conversion of shares into stock. | |
| 258. |
The audit that is made compulsory under statute is called _________. |
| A. | Statutory audit. |
| B. | Partial audit. |
| C. | Complete audit. |
| D. | Continuous audit. |
| Answer» B. Partial audit. | |
| 259. |
For which of the following, Audit is optional? |
| A. | Trusts |
| B. | Joint stock companies. |
| C. | Proprietorship concern. |
| D. | None of the above |
| Answer» D. None of the above | |
| 260. |
Auditing begins where ______ ends. |
| A. | Selling |
| B. | inventory valuation |
| C. | Accounting |
| D. | Purchases |
| Answer» D. Purchases | |
| 261. |
Internal auditor is appointed by ________. |
| A. | the management. |
| B. | the shareholders |
| C. | the government. |
| D. | he statutory body. |
| Answer» B. the shareholders | |
| 262. |
Voucher relates to _________. |
| A. | cash receipt. |
| B. | cash payment. |
| C. | credit transactions. |
| D. | all the above. |
| Answer» E. | |
| 263. |
Before the work of audit is commenced, the auditor plans out the whole of audit work is called _________. |
| A. | Audit plan. |
| B. | Audit note. |
| C. | Audit risk. |
| D. | Audit programme. |
| Answer» E. | |
| 264. |
This kind of audit is conducted generally between two annual audit ______. |
| A. | internal audit. |
| B. | interim audit |
| C. | final audit. |
| D. | continuous audit. |
| Answer» C. final audit. | |
| 265. |
Instruction of audit issued by controller and auditor general of India ________. |
| A. | statutory audit. |
| B. | final audit. |
| C. | management audit. |
| D. | government audit. |
| Answer» E. | |
| 266. |
Which of the following is not a kind of audit? |
| A. | Statutory and private audit. |
| B. | Government and continuous audit. |
| C. | Continuous, final, Interim, Cash, Cost and Management audit. |
| D. | None of these. |
| Answer» E. | |
| 267. |
__________ is a systematic examination of the books and records or a business |
| A. | Auditing |
| B. | Vouching |
| C. | Verification |
| D. | Checking |
| Answer» B. Vouching | |