B.Com-COMMERCE 6th Sem AUDITING(Bangalore University, Bangalore-2009)

VI SEMESTER B.COM. EXAMINATION, JUNE 2009
(Semester Scheme)
COMMERCE ( Elective Paper 3 (a)
Auditing - II

Time : 3 Hours Max. Marks : 90

SECTION - A

1. Answer any ten questions. Each question carries two marks. [10x2=20]

a) Define Voucher.

b) What is Annuity method of depreciation?

c) State two differences between General reserve and Specific reserve.

d) What is depreciation?

e) Mention two disqualificatios of an auditor.

f) What do you mean by fictitious assets?

g) Give the meaning of embezzlement of cash.

h) Give the meaning of capital expenditure.

i) What is meany by qualified report?

j) What is misconduct?

SECTION - B

Answer any five questions. Each question carries 5 marks. [5x5=25]

2. Discuss the objective of vouching.

3. Explain the basis of depreciation.

4. What do you mean by divisible profits? What are the problems associated with the calculation
of divisible profits?

5. What are the statutory qualifications of an auditor?

6. Explain 5 duties of an auditor, While verifing depreciation of fixed assets.

7. What are the disadvantages of depreciation under reducing balance method?

8. What are the general points to be noted by an auditor while auditing the account of
banking companies.

9. Discuss the points to be noted by the auditor while verifing tax returns of public trust.

SECTION - C

Answer any three questions. Each question carries 15 marks. [3x15=45]

10. How do you vouch the following transactions:

a) Remuneration of Auditor.

b) Installment purchaces.

c) Travelling expenses.

11. Explain the rights, duties and liablities of an auditor.

12. Discuss breifly different types of depreciation and bring out the duties of an auditor
in this connection.

13. What are the points to be noted by an auditor while verifying the books of account
educational institutions?

14. What are secret reserves? What safeguards should an auditor observe with regard
to their creation, existence and utilisation?