WAOM Session 2

Which among the following is one of the purposes of the AOM?

• a. To disallow transactions which the auditor finds to have deficiencies

• b. To communicate deficiencies relating to financial/operations which involve pecuniary loss

• c. To communicate deficiencies relating to financial/operations which do not involve pecuniary loss

• d. None of the preceding statements

A written notification to the auditee head and concerned officers/s informing them

of deficiencies noted in the audit of accounts, operations or transactions and requiring comments thereto and/or submission of documentary and other information requirements within a reasonable period

• a. Audit Agenda

• b. Audit Observation Memorandum

• c. Audit Observation

• d. Audit Query

How many days within which the management shall submit their reply/comment to the AOM?

• a. 10 calendar days

• b. 10 working days

• c. 15 working days

• d. 15 calendar days

Who are the signatories of the AOM?

• a. The ATL and the SA/RSA

• b. The SA/RSA and the Regional Director

• c. The Regional Director and the Assistant Regional Director

• d. The Audit Team Member and the ATL

Which among the following COA functions is related to the AOM?

• a. Examine, audit and settle

• b. Keep the general accounts

• c. Adopt measures to correct

• d. All of the choices

Who shall be the addressee of the AOM?

• a. Agency Accountant

• b. Audit Team Leader

• c. Regional Director

• d. Agency Head

If the auditor does not agree to the management's reply to the AOM, he may issue a _______affirming his observations.

• a. disallowance

• b. rejoinder

• c. suspension

• d. none of the choices

If agency officials fail to reply to the AOM, the observation shall be

deemed accepted and shall be included in the audit

report.

• True

• False

The body of the AOM includes all of the the following except:

• a. condition

• b. criteria

• c. recommendation

• d. management's comments

The AOM may be issued anytime during the period of audit.

• TRUE

• FALSE