Page 66 - CA Inter MCQ Book

CA RAVI TAORI CA INTER AUDIT MCQs

d) ADT - 4

CA 1.28 SM21
Reporting on fraud is to be made by an auditor to Central Government when fraud amount is
a) Exceeding ` 10 lakh
b) Exceeding ` 50 lakh
c) Exceeding ` 1 crore
d) ` 1 crore or above

CA 1.32 #Unique SM21
The Guidance Note on Audit of Internal Financial Controls over Financial Reporting has been issued
by?

a) ICAI
b) SEBI
c) MCA
d) RBI

CA 1.35 SM21
Who is mainly responsible for implementation of internal financial controls in a company?
a) Auditors
b) Directors
c) Employees
d) Regulators

CA 1.36 N21M
M/s PQR & Associates is appointed as the new auditors of M/s Prince Ltd. On conducting the audit,
the firm found that the accountant has entered fake invoices of credit purchases in the books of
accounts aggregated of ₹ 75 Lakhs and cleared all the payments to the fake creditor.

The auditor M/s PQR & Associates should report such fraud to :
a) Central Government
b) Reserve Bank of India
c) Board of Directors/Audit Committee
d) Comptroller & Auditor General

Part 7 – CARO

CARO.1 M19R
Eeyore Pvt. Ltd. is incorporated on 1st July 2017. During the Financial Year ending on 31st March
2018, the company did not opt for any borrowing at any point of time and have a total revenue of
Rs. 60 Lakh. At the year end, it provides the following information regarding its paid-up capital and
reserve & surplus-
Particulars Amount (in Rs)
Paid-up Capital
-Consideration received in cash for equity shares 40,00,000
(Including unpaid calls of Rs. 5,00,000)
-Consideration received in cash for preference shares 25,00,000
-Bonus shares allotted 7,00,000
-Share application money received pending allotment 10,00,000

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