Q46.........

An audit report may be dated:

a.

Earlier than the date obtained sufficient appropriate audit evidence

b.

On or Later than the date obtained the sufficient appropriate audit evidence

c.

Later than the date of engagement letter for next audit

d.

Prior to the communication with the management on inconsistencies

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Q47............

In the Income statement of an auditee, total sales were shown as RO 12,240. The opening and closing stocks in units were 500 and 300 respectively. During the year the entity purchased 1000 units. If the average selling price varied between RO 0.600 RO 0.800 per unit, what do you comment on the assertion of Sales?

a.

Materially misstated

b.

Data is insufficient to comment

c.

Fair

d.

Perfectly stated

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Q48............

Risk of auditor not detecting a material misstatement resulting from management fraud is greater than for employee fraud, because: I. Management can manipulate accounting records II. Management can override controls

a.

Only II is True

b.

Both are True

c.

Only I is True

d.

Both are False

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Q49...........

Analytical procedures include: I. Evaluation of relationships among data II. Investigation on fluctuations

a.

Both I and II

b.

Neither I nor II

c.

Only II

d.

Only I

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Q50................

In relation to a firms use of going concern as the basis, arrange the following in the correct sequence. I. Conclude on appropriateness of use of going concern as basis II. Identify the presence of events or conditions III. Perform additional audit procedures IV. Evaluate whether sufficient appropriate audit evidence is obtained

a.

I, II, III and IV

b.

IV, III, II and I

c.

III, IV, I and II

d.

II, III, IV and I