This quiz works best with JavaScript enabled. Home > Finance > Accounting > Auditing > Auditing – Quiz 16 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Auditing Quiz 16 (14 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Audit procedures to determine whether the balance of trade receivables can be collected or not can be carried out by..... A) Conduct interviews with the accounts receivable ledger section. B) Compare the amount of accounts receivable write-offs with the amount of sales. C) Confirming accounts receivable. D) Carry out an analysis of the aging list of receivables. Show Answer Correct Answer: D) Carry out an analysis of the aging list of receivables. 2. .... is the system in which we keep physical register of journal and ledger for keeping the records of each transactions. A) Management accounting. B) Traditional accounting. C) Manual accounting. D) Cost accounting. Show Answer Correct Answer: C) Manual accounting. 3. If the auditor's independence is compromised and restricted from accessing certain data, the auditor has the right to issue an opinion in the form of: A) WDP. B) Unreasonable. C) WTP. D) Do not give an opinion. Show Answer Correct Answer: D) Do not give an opinion. 4. ..... auditors assert whether financial statements are free of material misstatement due to error or fraud. A) Internal. B) Independent. C) External. D) Public. Show Answer Correct Answer: C) External. 5. When the financial statement are fairly stated but the auditor concludes there is substantial doubt whether the client can continue in existence, the auditor should issue an ..... A) Unqualified Opinion with explanatory paragraph. B) Qualified Opinion only. C) Adverse Opinion. D) Unqualified Opinion. Show Answer Correct Answer: A) Unqualified Opinion with explanatory paragraph. 6. Safety audit is mandatory for ..... A) Hazardous industries. B) Manufacturer industries. C) Textile industries. D) Mining industries. Show Answer Correct Answer: A) Hazardous industries. 7. To ensure that the inventory recorded is original and can be trusted, the auditor must......, except A) Be present in the client's physical calculations. B) Carrying out independent tests in physical calculations of client inventory. C) Observation of client calculation procedures. D) Increase the number of auditors in observing client inventory. Show Answer Correct Answer: D) Increase the number of auditors in observing client inventory. 8. Audit information is detailed instructions that explain the audit evidence that must be obtained during the audit A) CORRECT. B) SALAH. Show Answer Correct Answer: A) CORRECT. 9. Audit based on Time A) Continuous audit. B) Periodic audit. C) Partial audit. D) All of the above. Show Answer Correct Answer: D) All of the above. 10. Which of the following does not describe the definition of audit? A) Examination of various books of account to ensure following correct standards. B) Physical checking of inventory to ensure all departments following documented system of recording transactions. C) Evaluating clientele to measure the ability to expand the business. D) Enhancing the credibility of financial statements. Show Answer Correct Answer: C) Evaluating clientele to measure the ability to expand the business. 11. The standard report includes all of the following except ..... A) Introductory Paragraph. B) Scope Paragraph. C) Explanatory Language Paragraph. D) Opinion Paragraph. Show Answer Correct Answer: C) Explanatory Language Paragraph. 12. The following are the auditor's opinions or opinions, except..... A) Reasonable with the exception of explanatory language. B) Reasonable with exceptions. C) Improper opinion. D) The statement does not provide an opinion. Show Answer Correct Answer: A) Reasonable with the exception of explanatory language. 13. Internal audit functions within the organization, except: A) Reducing acts of fraud. B) Increase efficiency in operations. C) Helps protect assets. D) Striving to increase company revenue. Show Answer Correct Answer: D) Striving to increase company revenue. 14. Some of the things below are deviations from generally accepted accounting principles in Indonesia that relate to risk, except..... A) Limitation of the scope of accounting. B) Inaccuracy of accounting principles. C) Unreasonable accounting estimates. D) Inadequate disclosure. Show Answer Correct Answer: A) Limitation of the scope of accounting. ← PreviousRelated QuizzesAccounting QuizzesFinance QuizzesAuditing Quiz 1Auditing Quiz 2Auditing Quiz 3Auditing Quiz 4Auditing Quiz 5Auditing Quiz 6Auditing Quiz 7Auditing Quiz 8 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books