Auditing

The word audit is derived from __________________ word

• Latin
• Greek
• German
• Egypt

The art of recording day to day transactions systematically in the books of account is

• Accountancy
• Book keeping
• Auditing
• Verification

Work of accountancy starts where book keeping ends.

• True
• False

An intentional misrepresentation of financial information by one or more individuals is referred as

• Fraud
• Mistake
• Error
• Ommission

Which one of the following is not referred as fraud?

• Misappropriation of Cash
• Misappropriation of goods
• Manipulation of accounts
• Misapplication of accounting polices

Misappropriation of goods is easy in case of a business which produces or deals in goods of

• High value and less bulky
• Low value and less bulky
• High value and bulky
• Low value and bulky

Manipulation of accounts is committed by upper level management.

• True
• False

When the transaction is recorded twice and also posted twice in the ledger, it is called as

• Errors of Commission
• Errors of Duplication
• Errors of Principle
• Errors of Ommission

When n error offsets the effects of another error, such error is known as

• Errors of Commission
• Errors of Duplication
• Errors of Principle
• Compensating Errors

Accounts and Audit department is headed by

• Comptroller and Auditor General of India
• Controller and Auditor General of India
• Comptroller and Accounts General of India
• Controller and Accounts General of India