Some of the most frequently asked exam questions on investigation and audit of a limited company are as follows: Q.1. Enumerate the circumstances under which the Central Govt. may order 'investigation' of a limited company. Ans. The Companies Act., 1956, under its Section 237, states the specific circumstances when the Central Government may order for investigation into the affairs of [...]
Some of the most frequently asked exam questions on auditing for dividends and divisible profits are as follows: Q.1. Define and explain the term 'Divisible Profits'. Ans. These refer to that portion of profits (i.e., the excess of income over expenditure including provision for taxes and depreciation) which are available for distribution as dividend to the shareholders of the company. [...]
Some of the most frequently asked exam questions on internal check and internal control auditing functions are follows: Q.1. Discuss the importance of internal control and internal auditing functions in an organisation. Ans. The Statutory Auditor (cost auditor or financial auditor) in forming his opinion on cost and financial information needs reasonable assurance that the accounting system is adequate, that [...]