1121. The auditor of public company will be :

A. Cost and management accountant
B. Chartered accountant *
C. Any individual
D. All of the above

1122. To become an internal auditor person must be :

A. A chartered accountant
B. A cost and management accountant
C. M-Com
D. No qualification is required *

1123. Internal auditor is responsible to report:

A. Shareholders
B. Creditors
C. Management *
D. None of the above

1124. An audit technique reviewing the internal control system is known as :

A. Verification
B. Substantive test
C. Compliance test *
D. Physical check

1125. A simple control which an enterprise can usefully employ is referred to as the imprest system. To which of the following accounting areas is this control applicable ?

A. Wages control and reconciliation
B. Petty cash control and reimbursement *
C. Debtor Control
D. Stock control

1126. Substantive tests are designed to obtain evidence as to :

A. The effectiveness of the design of the accounting and internal control system
B. Completeness, accuracy and validity of data produced by accounting system *
C. Both
D. None of the above

1127. Test of control are performed to obtain evidence as to :

A. The effectiveness of the design of the accounting and internal control system *
B. Completeness accuracy and validity of data produced by account system
C. Both
D. None of the above

1128. Another name of test of control is :

A. Compliance test *
B. Substantive test
C. Walk through test
D. None of the above

1129. Vouching implies :

A. Inspection of receipts
B. Examining vouchers to verify the records’ authenticity
C. Surprise checking of accounting records
D. Examining the various assets

1130. Payment for good purchased should be vouched with the help of :

A. Creditor’s statement
B. Correspondence with the suppliers
C. Cash Memos *
D. Ledger accounts