Company Audit – II

Comment on following: X Ltd. has its registered office at Mumbai. During the current
accounting year it shifted its Corporate office to Delhi. The Managing Director of the
company wants to shift company’s books of account to Delhi because he holds the view that
there is no legal bar in doing so

Explain the powers of company to purchase its own securities

How will you vouch and/or verify: Re-issue of Forfeited Shares

As an Auditor, comment on the following situation/statement: The Finance Manager of Belt
Ltd. is of the opinion that before declaration of dividends it would not be necessary to set off
the carried forward amount of debit balance in the Profit and Loss Account against current
revenue profit but the same could be set-off against existing revaluation reserve. Do you
agree?

How will you vouch the payment of dividend?

Government Audit and Special Audit

1. Write short note on: Audit of Expenditure in Government Audit.

2. Explain propriety audit in the context of Government Audit

3. What are the powers of C&AG in relation to the accounts of Government Companies audited
by the statutory auditors?

4. Draft an Audit programme for conducting audit of accounts of a local body.

5. What important points should an auditor keep in mind while checking receipt of income of a
Non-Governmental Organization (N.G.O)

6. Mention any eight special points which you as an auditor would look into while auditing the
books of a partnership firm.

7. What is the ideal approach while carrying out audit of Incomplete Records?

8. Draft a comprehensive Audit Programme for auditing the receipt of fees from the students of
a school run by a Charitable Trust.

9. Mention any 8 special points which you as an auditor would look into while auditing the
books of accounts of Hospital.

10.What special steps will you take into consideration in auditing the accounts of a hotel.