FREE CGAP Questions and Answers

Question 1

A thorough investigation of a company's books and records is called a .

Accepted Answer

Auditing

Answer

Checking

Answer

Verification

Answer

Vouching

Question 2

Which of the following doesn't qualify as an audit?

Accepted Answer

None of these.

Answer

Government and continuous audit.

Answer

Continuous, final, Interim, Cash, Cost and Management audit.

Answer

Statutory and private audit.

Question 3

The controller and auditor general of India issued a directive for an audit.

Accepted Answer

government audit.

Answer

management audit.

Answer

final audit.

Answer

statutory audit.

Question 4

This type of audit is typically undertaken between two annual audits.

Accepted Answer

interim audit.

Answer

final audit.

Answer

internal audit.

Answer

continuous audit.

Question 5

The auditor sets out the entire audit process before work on it begins, and this process is known as .

Accepted Answer

Audit programme.

Answer

Audit risk.

Answer

Audit note.

Answer

Audit plan.

Question 6

The first auditor of a corporation is chosen by the board of directors.

Accepted Answer

within one month of incorporation of the company.

Answer

within one month of the commencement of the business of the company.

Answer

within one month of the promotion of the company.

Answer

within one month of completion of capital subscription state of the company

Question 7

The internal auditor is chosen by .

Accepted Answer

the management.

Answer

he statutory body.

Answer

the government.

Answer

the shareholders

Question 8

Where _____ ends, auditing begins.

Accepted Answer

Accounting

Answer

Purchases

Answer

inventory valuation

Answer

Selling

Question 9

Which of the following sections addresses the auditor's qualifications?

Accepted Answer

Section 226(1) and Section 226(2).

Answer

Section 224(3) and Section 224(4)

Answer

Section 226(3) and Section 226(4).

Answer

Section 224(1) and Section 224(2).

Question 10

The audit that is required by law is known as .

Accepted Answer

Statutory audit.

Answer

Continuous audit.

Answer

Complete audit.

Answer

Partial audit.