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2007 Bangalore University Commerce B.Com Auditing - II Question paper

Course: B.Com   University/board: Bangalore University

VI Semester B.Com, Examination, May/ June 2007
(Semester Scheme)
Elective Paper - 3 (a) : Auditing - II

Time : 3 Hours Max. Marks : 90

Instruction : Answers should be written completely either in English or in Kannada.


Answer any 10 sub-questions. Each sub-question carries 2 marks. (10 x 2=20)

1. a) Define ‘Voucher’.
b) Give 2 examples of collateral vouchers.
c) What does ‘Teeming and Lading’ mean ?
d) What is ‘Deferred Revenue Expenditure’ ?
e) Define ‘Depreciation’.
f) What is ‘Depletion / output Method’ and where is it generally used ?
g) What is Annuity Method of depreciation ? Where is it used?
h) Mention the types of duties of an Auditor of a company.
i) Give the meaning of ‘Divisible profits’.
j) Give the meaning of ‘Misfeasance’.
k) Expand i) SAPS ii) AAS.
l) Define ‘Management Audit’.


Answer any five of the following. Each question carries 5 marks. (5x5=25)

2. ‘Vouching’ is the essence of an audit. Bring out its importance.

3. Mention the importance provisions connected with under-writing commission.

4. Enlist the important duties of an auditor in connection with ‘deferred revenue expenditure’.

5. Explain the objects of ‘Depreciation’.

6. Enlist the items usually included in ‘Preliminary expenses’.

7. What points does an auditor note while auditing the accounts of a banking company ?

8. Explain ‘AAS1’ regarding basic principles governing an audit.

9. Explain ‘management audit’ with reference to
a) its objectives and
b) its significance.


Answer any three of the following. Each question carries 15 marks. (3x15=45)

10. What procedure should an auditor adopt in the course of vouching ?

11. What are the duties of an auditor in regard to the audit of ‘Depreciation’ ?

12. What are the ‘Rights and powers’ of an auditor of the company for effective discharge as regards
a) Access to books of accounts
b) Right to visit branches and
c) Right to be indemnified ?

13. Discuss fully the ‘civil liabilities’ of an auditor.

14. Explain the ‘statutory provision’ regarding ‘declaration and payment of dividend’.

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