531. Auditing standards differ from audit procedures in that procedures relate to
A. Audit assumptions
B. acts to be performed
C. quality criterion
D. methods of work

532. Financial auditor is not concerned with propriety of business transactions. However, the exceptions to this rule are contained for audit of limited companies in_
A. Section 227 (IA) of the Companies Act, 1956
B. Section 227 (IA) and section 227(4A) of the Act
C. CARO, 2003
D. Section 227 (IA) and CARO, 2003

533. …..the audit risk,….. the materiality and ……the audit effort
A. Lower, Higher, Lower
B. Lower, Lower, Higher
C. Higher, Lower, Lower
D. Lower, Higher, Higher

534. For all audits of financial statements made in accordance with AAS-14, the use of analytical procedures is at the discretion of the auditor in which stage?
A. Substantive testing
B. Planning stage
C. Overall review stage
D. All of the above

535. Which of the following factors is (are) considered in determining the sample size for tests of control?
A. Projected error
B. Tolerable error
C. Expected error
D. Both (b) and (c)

536. Tolerable error, is the maximum monetary error that the auditor is prepared to accept in the population and still conclude that audit objective has been achieved, is directly related to
A. Sample size
B. Audit risk
C. Materiality
D. Expected error

537. Which of the following Schedule of the Companies Act, 1956 deals with depreciations?
A. Schedule XIV
B. Schedule V
C. Schedule XIII
D. Schedule X

538. Schedule XIV has prescribed rates of depreciation for double shift and triple shift working for which one of the following assets?
A. Building
B. Plant and Machinery
C. Furniture and fittings
D. Ships

539. If the book value of an asset stands at ……..per cent of the original cost, a company need not provide depreciation on it.
A. two
B. fifteen
C. five
D. ten

540. A company has bought patents. Which of the following methods is most suitable for providing depreciation on them?
A. SLM
B. WDV
C. Sum-of year digits
D. Any of the above

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