Free CGAP Questions and Answers

Question 1

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

Accepted Answer

Auditing

Answer

Auditing is the systematic and independent examination of a company's financial records, accounts, and other documents. Its purpose is to verify their accuracy, completeness, and compliance with established standards and regulations, providing an opinion on the fairness of financial statements.

Question 2

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

Accepted Answer

None of these.

Answer

All the options listed (Government, continuous, final, interim, cash, cost, management, statutory, and private audits) are recognized and distinct types or classifications of audits. Therefore, none of the provided choices represent something that does not qualify as an audit.

Question 3

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

Accepted Answer

government audit.

Answer

The Comptroller and Auditor General (CAG) of India is the constitutional authority responsible for auditing all receipts and expenditures of the Union and State Governments. Therefore, any directive issued by this office for an audit would pertain to a government audit, falling within its mandate to ensure public accountability.

Question 4

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

Accepted Answer

interim audit.

Answer

An interim audit is specifically designed to be conducted during the course of a financial year, typically between two annual audits. Its purpose is to review transactions and balances up to a certain date, allowing for early error detection and facilitating the timely preparation of interim financial statements.

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

An audit programme is a detailed plan or set of instructions prepared by the auditor before commencing the audit work. It outlines the scope, objectives, and procedures to be followed, ensuring a systematic, comprehensive, and efficient approach to the entire audit process.

CGAP - Certified Government Auditing Professional Practice Test

CGAP - Certified Government Auditing Professional Practice Test

Free CGAP Questions and Answers