Page 16 - CA Inter MCQ Book

CA RAVI TAORI CA INTER AUDIT MCQs

300.15 SM21
Which of the following is correct :
a) The auditor shall establish an audit plan that sets the scope, timing, and direction of the audit,
and that guides the development of the overall audit strategy.
b) The auditor shall establish an overall audit strategy that sets the scope, timing and direction of
the audit, and there is no need to guide the development of the audit plan.
c) The auditor shall establish an overall audit strategy that sets the scope, timing, and direction of
the audit, and that guides the development of the audit plan.
d) The auditor shall establish an audit plan that sets the scope, timing, and direction of the audit,
and that there is no need to guide the development of the overall audit strategy.

300.16 SM21
which of the following is not addressed by the overall audit strategy :
a) scope of the audit
b) timing of the audit
c) direction of the audit
d) monitoring of the audit

300.17 SM23
Which of the following is not considered in planning an audit generally?
a) Understanding of legal and regulatory framework of an entity
b) Need to consider determination of materiality
c) Evaluating audit evidence
d) Need to consider involvement of expert

300.18 SM23
Which of the following is true about audit plan?
a) Once an audit plan has been finalized for an engagement, changes cannot be made to it.
b) Audit plan includes scope, timing and direction of planned risk assessment procedures.
c) Changes in audit plan cannot lead to change in audit strategy.
d) Audit plan has to be documented by auditor.

300.19 SM23
Which of the following is most important principle for formulating an audit plan?
a) Gaining knowledge of client’s workforce
b) Gaining knowledge of client’s business
c) Gaining knowledge of client’s vendors
d) Gaining knowledge of tax laws applicable to client

Part 2- Other Concepts

C2OC.1 N21M
CA R illustrated to his team that the utility of the Audit Programme can be retained and enhanced
only by keeping the programme as also the client’s operations and internal control under recurrent
assessment. Which attribute of the Audit Programme is highlighted here?
a) Static Review
b) Mechanical Review
c) Periodic Review
d) Obsolete Review

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