1161. Loose tools should be valued at :

A. Cost
B. Cost less depreciation
C. Market price *
D. Original cost plus maintenance cost.

1162. Loans given shoud be verified with the help of :

A. Statement of loans
B. Schedule of book debts *
C. Inspection of agreements
D. Certificate from the bank

1163. The following should be used to verify book debts:

A. Balance sheet
B. Amount received from debtors
C. Debtor’s schedule *
D. Certificate from the management

1164. To verify good will, the auditor should check :

A. Sales deed
B. Purchase agreement *
C. Balance sheet
D. Certificate from the management

1165. Investments in hand should be verified with the help of :

A. Schedule of investments
B. Balance sheet
C. Inspection of securities *
D. Certificate from the bank

1166. Inspection of securities for verifying investment was emphasized in :

A. London and general bank case
B. Case involving City Ethical Insurance Co. Ltd. *
C. Armitage v brewer and knott
D. Farrows bank ltd

1167. With regard to issue of share warrants to the bearers , the auditor should see that it is :

A. Permitted by Memorandum of association *
B. Sanctioned by the central government
C. Permitted by the board of directors
D. None of the above

1168. for the shares being forfeited. It should be verified by the auditor that it is allowed.

A. By memorandum of association
B. By Articles of Association *
C. Under companies ordinance 1984
D. None of these

1169. iF balance confirmed by the doctor is in agreement with the book balance .It provides the audit evidence as to :

A. Collectibility of balance
B. The accuracy and presence of the recorded balance
C. Absence of unrecorded balance
D. None of the above

1170. Another name of teeming and lading is :

A. Substantive test
B. Compliance test
C. Lapping *
D. All of the above