Regul

ati
onsonAudi
tandAccount
s

1.TheRegulat
iononAuditandAccount
swasmadebyC&AGofI
ndi
aundert
hepower
s
confer
redonhim by_
___
__ _
____
__ofC&AGs(
DPC)Act
,1971.
A.Secti
on20
B.Secti
on21
C.Secti
on23
D.Secti
on24

2.TheRegulat i
ononAuditandAccountsshal
lappl
yto
A.OfficersandstaffofI
A&AD
B.allmi nist
ri
esanddepartmentsoftheUnionGovernment,Stat
eGovernments
andUni onTer r
it
oryGover
nments
C.bodi es,aut
hori
ti
esandenter
pri
ses,t
owhichtheauditoraccount
sjur
isdi
cti
ons
D.Alloft heabove

3.Findtheincorrectstat
ement -
A.Audi tmandatemeanst heauthor
it
yoft heCompt roll
erandAuditorGener alofIndi
a
forauditundertheConst i
tutionofI
ndiaandt heDPCAct .
B.Audi tmemor andum meansamemor andum orletteri
ssueddur i
ngt hecour seof
auditforelici
ti
ngi nformation,conf
ir
mat i
onoff actsoranyot hermatterconsi der
ed
necessarybytheaudi toff
icerinconductofaudit.
C.Gov ernmentcompanymeansaGov er
nmentcompanyasdef i
nedunderSect ion619
oftheCompani esAct ,1956.
D.Deemed Gov er
nmentcompany f ort he purpose oft hese Regul
at i
ons means
acompanycov eredunderSect i
on619Boft heCompani esAct,1956.

4.Whi
chofthesear
erul
es/
inst
ruct
ionsi
ssuedbyCAG?
I
.Regul
ati
ons I
I.St
andingor
ders II
I.Gui
del
i
nes I
V.Pr
act
icenot
es

A.Ionl
y B.I&I
II C.I
,I
I&I
II D.Al
loft
heabov
e

5.Whi
chofthesearethedet
ail
edi
nst
ruct
ionsonaudi
toronaccount
ingmat
ter
s?
A.Regulati
ons
B.Standingor
ders
C.Guideli
nes
D.Practi
cenotes

6.Accordi
ngtowhichsect
ionoftheDPCAct
,thescopeandext
entofauditshal
lbe
det
erminedbytheCAG?
A.20 B.21 C.22 D.23 [SASMains2018]

7.CAGunder
takesaudi
twhi
chmaybecat
egor
izedbr
oadl
y-
 A.Fi
nanci al
audit,compli
anceauditandPerfor
manceaudi
t
B.Ci
vilaudit,commer ci
alaudi
t,r
ail
wayauditandP&Taudi
t
C.Receiptaudit,
expenditur
eauditandgrantaudi
t
D.All
oft heabov e.

8.Thescopeofaudi ti
ncl
udes-
A.Financial
audit
B.compl i
anceauditandPerf
ormanceaudi
t
C.assessmentofinternal
contr
olsi
ntheaudi
tabl
eent
it
ies.
D.Alloftheabove.

9.Ext
entofaudi
tdoesnotmean-
A.thequantum ofauditexcl
udingtheper
iod
B.theuni
tsoftheaudi t
ableenti
ty
C.theext
entoft estcheck
D.theboundari
esofaudi tenquir
ytobecoveredi
nanaudi
t.

10.Audi
twillbeconduct ed
i
)IntheAuditOf fi
ce
i
i)I
ntheofficeoft heAudit
ableenti
ty
i
ii
)Atthesitewher etherel
evantrecor
dsforaudi
tar
eav
ail
abl
e
i
v)Atsuchpl aceasmaybedeci dedbyaudi
t.
A.(i
)&( i
i)above
B.(i
)( i
i)&( i
ii
)above
C.(i
i)(ii
i)&( i
v)above
D.(i
)t o(iv)above

11.TheCompt rol
l
erandAudi torGeneraloranyof f
icersoauthori
sedshallgi
venotdue
consi
derati
ont oar equestforspecialauditofaprogramme, proj
ectororgani
zat
ioni
f,
A.audi ti
swi thintheauditj
urisdi
cti
onofCAG
B.requesti smadewi ththeappr ovaloftheHeadoft heOf f
iceoftheconcer
ned
depar t
ment ;
C.r equestshal lstatethejust i
fi
cati
onandr easonsthatnecessit
ateaspecial
audit,andspeci fytheperi
odt obecov ered
D.t he decision oft he Compt r
oll
erand Audi t
orGeneraloranyof f
icerso
authorisedinr egardtothespecialauditshal
lbef i
nal
.

12.Pi
cktheincorr
ectregar dingtowhom t heresult
softhespecial
audittobereported.
A.UnionMin./
Dept t.-SecretarytoGov er
nmentoftheconcer neddepart
ment
B.State/
UTMi n./Dept t.
-Secretar
yt oGov er
nmentoft heconcerneddepartment,
butnottoSecretaryt oGov er
nment ,Fi
nanceDepartment.
C.TheCompt r
ollerandAudi t
orGener alreser
vesther i
ghttocommuni catet he
resul
tsofanyspeci alaudittotheMi ni
str
yofFinance,GovernmentofIndia.
D.TheCompt r
ollerandAudi t
orGener alreser
vesther i
ghttocommuni catet he
 r
esul
tsofanyspeci
alaudi
ttoi
ncl
udet
hem i
ntheaudi
trepor
t.

13.Audit
ingstandardswill
applyto-
(i
)t
heindivi
dualauditor(
ii
)theauditdepar
tment(
ii
i)t
heaudi
teeor
gani
sat
ion
(i
v)theheadoft heaudit
eeorganizati
on

A.(
i)&(i
i)above
B.(
i)(
ii
)&( i
i
i)above
C.(
ii
)(i
ii
)&( i
v)above
D.(
i)t
o(iv)above

14.Audi
ti
ngst
andar
dsshall
,int
eral
ia,
incl
udethefol
lowing-
(i
)basi
cpost
ulat
es(
ii
)generalst
andar
ds(ii
i)f
iel
dstandards(i
v)r
epor
ti
ngst
andar
ds

A.(
i)&(i
i)above
B.(
i)(
ii
)&( i
i
i)above
C.(
ii
)(i
ii
)&( i
v)above
D.(
i)t
o(iv)above

15.Whi choftheauditingst andardshel

pindevel
opi
ngaudit
ingst
andar
dsandgui
det
he
auditor
si nformingthei ropinionsandrepor
ts,par
ti
cul
arl
yincaseswher
enospeci
fi
c
standardsapply?
A.basicpostul
at es
B.generalst
andar ds
C.fiel
dstandards
D.report
ingstandar ds

16.Whichoft heauditi
ngstandardsdescr
ibet
hequal
i
ficat
ions/cr
edi
bil
i
tyofwor
kof
theaudi
torandtheauditinst
it
uti
on?
A.basicpostul
ates
B.generalst
andards
C.fiel
dstandards
D.reporti
ngstandards

17.Fi
ndt hecorrectone-
A.Repor ti
ng standards shallbe meantt o assi stand super sede,prudent
judgementoft heauditorinframingandreport
ingaudi tf
indings,
conclusi
onsand
recommendat i
ons.
B.I nnocircumstances,audit
orsshouldrepor
till
egal act
spr omptl
ytotheaudited
ent i
tywit
houtwai t
ingforthefull
reportt
obepr eparedaft ert
heaudit.
C.Per f
ormance audi tr eport
s should not concent rate sol
ely on adverse
assessmentoft hepastbutshoul dbeconst ruct
ive.Recommendat i
onsshoul d,
asf arasf easi
ble,suggestwhati mprovementsareneededandhow t oachieve
them.
 D.Infol
lowupofr ecommendat i
ons,t
heauditorshoul
dmaint
ainobj
ect
ivi
tyand
i
ndependence and shoul
df ocus on whetherspecif
icr
ecommendati
ons are
adopt
edr at
heri
denti
fiedweaknessesarecor
rected.

18.UndertheConst i
tuti
onofI ndiaandt heAct,i
tist hedutyoftheCompt
rol
l
erand
Audi
torGeneraltoauditandreportontheaccountsfol
lowingexcept
-
A.UnionGov er
nment
B.GovernmentsofeachSt ate
C.Gov er
nmentofUni onTer r
it
oryhavi
nglegi
slat
iveassembly
D.Gov er
nmentofUni onTer r
it
oryNOThav i
nglegisl
ati
veassembl
y

19.Excessorsav i
ngsar eshowni n-
(i
)appropri
ationaccounts( i
i)f
inanceaccount
s
A.(i
)abov e
B.(i
i
)abov e
C.both(i)&(ii
)above
D.neit
her(i)nor(i
i)above

20.Reasonsf oranyexcessorshortf
allinexpendi
turebey
ondt helimi
tsprescr
ibedfor
the purpose underany uni tofappr opr
iat
ion shallbe f
urnished by Government
depart
ment st o-
(i)t
heaudi toffi
ce(ii
)theaccountsof
fi
ce
A.(i
)abov e
B.(i
i)above
C.both( i
)&(ii
)above
D.neither(i
)nor(i
i)above

21.Whatdoesnotcomeundert hepurvi
ewofCompl ianceAudi t?
A.Compl ianceoft r ansactionsofGov t
.wi th provisi
onsofConst i
tut
ion and
rul
es/r
egulationsissuedbyt hecompet entauthorit
y
B.Examinationoft her ules,regul
ations, ordersandi nstructi
ons
C.Consist
encyofr ules,regulati
ons, ordersandi nstructions.
D.Adequacyofdi sclosur esi ncl
udingappr opri
ateandnecessar yexpl
anati
onsfor
anyentryoramountt hatispr i
maf acieunusual .
E.matterappear i
ngt oi nv ol
vesignifi
cantunnecessar y ,
excessive,
extr
avagantor
wastef
ulexpendi t
ur eofpubl i
cmoneyandr esourcesdespi tecompli
ancewiththe
rul
es.

22.Fi
ndthecor r
ectone-
A.Gov ernmentdepar t
mentsshal linvari
abl
yendor seorot herwisesendt othe
audi
tof fi
ce(s)andt heaccountsof f
ice(
s)copi esofallrules,regul
ati
onsand
gener
alor dersregul
atingt
her aisingofr evenues,incur
ri
ngofexpendi tureand
li
abi
li
ti
esandmanagementofasset sandl i
abil
it
ies,assoonast heseareissued.
B.Wher everpossibl
e,anyrevi
sionofr ul
esorsubst anti
vecodesunder t
akenby
 the Governmentdepartments and having fi
nanci
al,account
ing oraudi t
ing
i
mpl i
cat
ionsmayber efer
redt otheconcernedAccountantGeneral(Accounts
andEntit
lement)orAccountantGener
al(Audit
),asthecasemaybe,f orscrut
iny
befor
eissue.
C.Both
D.None

23.Whoshal lendorseorot herwisesendtotheauditoff

iceandt heaccount
soffi
ce,
copi
esofallsanctionsofadv ancefrom t
heCont
ingencyFundaswel lasr
esumpti
onof
theadv
ancet otheCont i
ngencyFundassoonast heseareissued?
A.Fi
nanceMi ni
str
y
B.Presidentoff
ice
C.Parli
ament
D.CGA

24.AsperAr t
icl
e150oft heConsti
tut
ion,t
heaccount
sofUni on/St
ateGovt
.shallbe
keptint hemannerpr escri
bedbyt hePresi
dentinconsult
ati
onwi t
hCAG.But ,the
accountsofstoresandstockshal
lbekeptinthemannerprescr
ibedbythe_
____
____in
consul
tationwithCAG.
A.Presi
dent
B.CGA
C.UnionGovt.
D.ConcernedMin/Deptt
.

25.Whichsect
ionoftheDPC Actauthor
izesCAG i
nregar
dtoaudi
tofasset
sand
l
iabi
l
iti
es?
A.13 B.17 C.20 D.A&Bboth

26.Findtheincorrectone-
A.Auditshal lnotnor mal l
yassumer esponsibi
li
tyforphysicalv
erif
icat
ionof
stor
es.
B.Responsibil
ityofphysicalveri
fi
cati
onofst oresrestswit
htheGovernment .
C.Auditreservestheri
ghtt oinvest
igat
est orebalances.
D.Auditdoesnotr eser
v ether i
ghttohighli
ghtdiscrepanci
es.

27.Defi
nit
ionofPerf
ormanceAudi
tisgi
veni
nwhi chr
uleofRegul
ati
ononAudi
t&
Account
s2007?
A.56 B.58 C.64 D.68

28.Whi
chi sincorr
ectregardingthr
eeEsofperformanceaudit?
A.Economyi smi ni
misingthecostofr esourcesusedforanact i
vi
ty,wit
hout
regardtoappropriatequali
ty.
B.Economyoccur swher eequal
-qual
i
tyr
esour cesar
eacquir
edatleastcost.
C.Effici
encyexistsout puti
smaxi mi
sedf oranygiv
ensetofresourceinputs,or
 inputisminimisedf
oranygivenquanti
tyandquali
tyofout
put
.
D.Ef fect
ivenessisrel
ati
onshipbetweenthei nt
endedimpactandt
heact
ual
i
mpactofan
activ
ity.

29.Befor
ecommenci ngdetail
edworkofwhichaudi
t,t
heAG( Audi
t)shal
lhol
danent
ry
confer
encewithSecret
aryt
ot heGov
ernmentoftheconcer
nedDepart
ment?
A.Financi
alAudit
B.Compl i
anceAudit
C.PerformanceAudit
D.All

30.Di
scussi
onattheent r
yconferenceshall
,int
erali
a,i
ncl
udes-
A.Scopeandcov erageofaudit
B.Auditobj
ecti
vesandcrit
eria
C.Proposedtechni
quesofev idencecoll
ect
ion
D.Overal
lti
meframeandt entativ
etimeschedule
E.Alloft
heabov e.

31.Forar r
ivi
ng att he quant um ofGov er nmentassi stance fort he purpose of
ascer
tai
ningauditabi
lit
yunderSect ion14oft heAct ,fi
ndt heincorrectone-
A.t heaggregateoft heamount sofgr antandl oanpai dt oabodyoraut horit
y
shallbereckonedt ogether.
B.theamount sofgr antandl oanpaidt oabodyoraut horityshal
lber eckoned
separate.
C.t heamount sofgr antandl oanpai dtoabodyoraut hori
tybyt heUni on
Gov ernment,theSt ateGov ernment(s)andt heUni onTer rit
oryGov er
nment (
s)
shallbeaggregated.
D.theamount sofgr antandl oanpai ddur i
ngay earshal lincl
udeanyamount s
remainingunspentoutofgr antandl oanpai dt ot hebodyoraut hori
tydur i
ng
precedingyear(s)butnotr efundedtot heGov ernment .

32.Anauditreportcontaini
ngaudi
tobser
vat
ionsontheaccountsofanauthor
it
y,body
orcor
porati
onwhet herornotrequi
redt
obelaidbef
oret
helegisl
atur
eiscal
l
ed-
A.Inspecti
onreport
B.Separateauditreport
C.Auditnote
D.Actiontakennot e

33.Foraudi
tofcorporat
ionsunderSecti
on19(2)oftheDPCAct,f
indthei
ncorr
ectone-
A.Everycorporati
ont hatissubjectt
oauditbyCAG shallsendcopiesofthe
agendanotesandmi nutesofthemeetingsofit
sgoverni
ngbodyandt heaudit
commi t
teetotheAG( Audit
).
B.WhereCAGi sthesol eaudi
torofacorpor
ati
on,t
hef
inancial
audi
tisconduct
ed
 i
naccor dancewi tht heauditi
ngst andardsissuedbyCAG & t heI nst
it
uteof
Chart
eredAccount antsofIndi
aboth.
C.Inaddi t
iont ot hef i
nanci
alauditofaccount sofacor por
ati
on,CAG may
conductanyot hert y
peofaudi tviz.testcheckoft ransacti
onswithav iew t
o
examini
ngt hei
rlegali
ty,per
for
manceaudi t.
D.Theaudi toffi
ceshal lsendtot heCEO adr aftseparat
eauditreportthati
s
separat
efrom theaudi tcer
ti
fi
cateont heaccounts.

34.TheAccount antGeneral(Audi
t)shallsendtheauditcerti
fi
cateandt hesepar
ate
auditreportwhich wi
llform partoft he audi
tcert
if
icate on the account
soft he
corpor
ationto-
A.Secr et
aryt
oGov ernment
B.CEO
C.acopyt oCEO
D.Bot hA&C

35.Ther esponsibi
l
ityforsettl
ementofauditobserv
ationsisthatofthemanagementof
thecorporati
onandso, eachcorporat
ionshal
lconsti
tutean‘auditar
rear
scommi t
tee’
in
caseal argenumberofaudi tobservat
ionsincl
udedi ntheinspect
ionrepor
tsremain
outst
andingf or
-
A.mor ethanoney ears
B.mor ethantwoy ears
C.mor ethanthreey ear
s
D.mor ethanfiv
ey ears

36.Thel
ett
erofent rust
mentofauditofabodyorauthor
it
ytoCAGshal
lbei
ssuedi
nthe
nameof-
A.CEO
B.Gover ni
ngbody
C.Ministry
/depart
mentconcerned
D.PresidentorGover
nororAdmi ni
str
atorast
hecasemaybe.

37.Astat
utoryaudit
ori
sappoi
ntedf
oraudi
tof
-
A.Govt.company
B.Corporat
ion
C.Publi
cbody
D.SPSE

38.Fi
ndtheincorrectregar
dingastat
utoryaudit
or-
A.Anaudi tororanaudi t
ingfi
rm appointedundert
heCompaniesAct
,1956f or
theauditofaccount sofaGov ernmentcompanyoradeemedGov ernment
company .
B.Appointedbyt hegover
ningbodyoft hecompany
C.Appointedf orafi
nanci
alyear,
re-appoint
edonyeart
oyearbasi
snotordinar
il
y
 exceedi
ngfourf i
nanci
alyears
D.Thestatutoryaudi
torshallsendacceptanceoft
heauditassi
gnmenti
nwrit
ing
t
otheCAGwi t
hinthreeweeksoft hedateofissueofcommunicati
onofappoi
ntment
.

39.Thestatutoryaudit
orshal
ldocumenttheimport
antmat
ter
s,pr
ovi
dingev
idencet
hat
theaudi
thasbeencar r
iedoutasperr
ules,i
nthefor
m of
-
A.wor kingpapers
B.auditnot es
C.practicenotes.
D.separ ateaudi
trepor
t

40.Thestat
utoryaudi
torshal
lret
aint
her
ecor
dofwor
kdonebyhi
mint
hef
orm of
worki
ngpapersforaperi
odof-
A.1year
B.2years
C.3years
D.5years

41.Fi
ndthei
ncorrectr
egardinganAuditBoar
d-
A.Est
abli
shedbyt heCAGi nconsul
tat
ionwiththeGovernmentofI
ndia.
B.Permanentbody f orper f
ormance audits ofthe centr
alpublic sect
or
under
taki
ngs
C.Thescopeofper f
ormanceauditext
endstoonef i
nancial
yearonl
y.
D.TheAuditBoardshallf
uncti
oninanadvisoryandrecommendatorycapaci
ty.

42.Whoisthechai
rper
sonintheConst
itut
ionofAudi
tBoar
d?
A.AG(Audit
)
B.ADAI
C.Deput
yCompt rol
l
erandAudit
orGeneral(
Commercial
)
D.Deput
yCompt rol
l
erandAudit
orGeneral

43.Which board/commit
tee i
s consti
tut
ed by an AccountantGener
al(
Audi
t)f
or
fi
nal
i
zati
onofper f
ormanceaudi
tsofStatePubl
icSect
orEnterpri
ses?
A.AuditRevi
ewCommi tt
ee
B.Audi
tBoar d
C.Perf
ormanceAuditCommittee
D.Perf
ormanceReviewCommi tt
ee

44.Whoisthechai
rper
sonintheAudi
tRevi
ewCommi t
tee?
A.AG(Audit
)
B.ADAI
C.Deput
yCompt rol
l
erandAudi
torGener
al(
Commer ci
al)
D.Deput
yCompt rol
l
erandAudi
torGener
al(
Stat
eCommer ci
al)
45.WhoisnotamemberofAudi tRev i
ewCommi ttee?
A.AG( Audit)orAG(A&E)i nanei ghbori
ngSt at
e
B.SecretarytoGovernmentoftheconcer neddepar t
ment
C.atechnicalmembernomi natedbyt heAG( Audit
)
D.atechnicalmembernomi natedbyt heSt ateGovernment
E.anof f
icernominatedbyDeput yCompt rol l
erandAudit
orGeneralorAddit
ional
DeputyCompt r
oll
erandAuditorGener al(StateCommer ci
al)asarepresent
ativ
e
ofCAg.

46.Thereport
soft heCAGinr el
ati
ont
ot heaccount
sofaGov er
nmentcompanyora
deemedGov ernmentcompanyshall
besubmit
tedtotheGov
ernmentconcer
nedunder
-
A.Arti
cle151ofConsti
tuti
on
B.Secti
on11oft heDPCAct
C.Secti
on19Aoft heDPCAct
D.Alloftheabove.

47.Underwhi chArt i
cle oftheConst i
tut
ion,t
helegisl
atur
eofaStat
emaymake
provi
sionswithrespectt othemai nt
enanceofaccountsandtheaudi
tingofsuch
accountsofpanchayatir
aji
nsti
tut
ionsandurbanl
ocalbodi
es.
A.243I
B.244J
C.244I
D.243Jand&Z

48.Whoisr esponsibl
eforauditofpanchayat
iraji
nst
it
uti
onsandur
banl
ocalbodi
esi
n
stat
esexceptBi har
,Jhar
khandandWestBengal ?
A.Statutoryaudi
tor
B.Local FundAudit
or
C.Local bodyaudit
or
D.Exami nerofLocalFundAccounts

49.Whoisr esponsibleforauditofpanchayat
iraji
nst
it
uti
onsandur
banl
ocalbodi
esi
n
stat
esofBihar,JharkhandandWestBengal ?
A.Statutoryaudit
or
B.Local FundAudi t
or
C.Local bodyauditor
D.Exami nerofLocal FundAccounts

50.LocalFundAuditori
sanof
fi
cerof
-
A.CAG
B.Stat
eGov t
.
C.Localbody
D.AnyofA&B
51.ExaminerofLocalFundAccount
sisanof
fi
cerof
-
A.CAG
B.Stat
eGov t
.
C.Localbody
D.AnyofA&B

52.TheCAG mayundert
aketheaudi
tofpanchayat
irajinst
it
uti
onsandur banlocal
bodi
esunderwhichSecti
onoft heActwher
esuchbodi esarefinanced f
rom t
he
Consol
idat
edFundofI
ndi
aorofanySt
ate/
UThavi
ngalegisl
ati
veassembly?
A.14
B.18
C.19
D.20

53.Themodelf ormsinwhi
chtheaccountsofpanchay
atir
ajinst
itut
ionsandur ban
l
ocalbodiesmaybekeptandi nwhi
cht hei
rbudget
smaybepr eparedandpr esented,
havebeenprescribedby
-
A.CGA
B.CAG
C.StateGov t.
D.Localrules

54.AG (Audit
)woul dconductt estcheckofsomeofpanchay at
iraji
nsti
tut
ionsand
urban l
ocalbodies in orderto provide techni
calgui
dance.Who willpursue t
he
compli
anceofsuchpar agraphsinthei nspecti
onrepor
tsoftheAccountantGeneral
(Audi
t)
?
A.AG( Audit
)
B.StateGovt.
C.LocalfundAuditor
D.StatePAC
55.Auditofeconomy,effi
ciencyandeffecti
venessofITsyst
emsisenshri
nedinwhich
rul
eofRegulati
onsonAudi t&Accounts2007?
A.157
B.158
C.159
D.160

56.Whi chrul
eenunciatesthattheauditabl
eenti
tyshallensurethatAudi
thastheri
ght
ofaccesst otheITsy stems,irr
especti
veofthef actwhetherthesystemsareowned,
maintainedandoperatedbyt heaudit
ableenti
tyorbyanyot heragencyonbehal
fofthe
audi
tableenti
ty?
A.163
B.164
C.165
 D.166

57.Fi
ndthei ncorr ect
-
A.Whi l
er eportingt her esult
sofaudi t,CAGmayi ncludesuchaudi tevidencei n
suppor tofaudi tfindingsandconcl usionsasconsi derednecessary.
B.Theaudi tevidencenoti ncludedexpl i
citl
yinthefinalreportofaudit
,v i
z.audit
notes,inspect ionr epor t
s,audi treports,etc.maybeshar edwiththeaudi table
enti
ty.
C.Thef orm,t ypeandext entofdat a,informationanddocument srequiredf or
audittestsandev i
denceshal lbedetermi nedbytheaudi toffi
cer.
D.Theaudi tof f
icersmayr el
yupon ev idencef r
om i nter
nalsourcesoft he
auditableent it
yonl yandnotf rom externalsources.
E.Wher er equiredbyt heaudi toffi
cer ,t
heaudi t
ableent i
tyshallat
testthedat a,
inf
ormat ionanddocument sf ormingtheev i
dence.

58.Whererequir
edbyAudi tinspecialci
rcumstances,t
heaudi
tableentit
yshal
lconduct
physi
calver
if
icati
onofst or
es,stocks,assets,serv
icesanddel
iverabl
esinanyformi n
thepr
esenceoftheaudi tof
fi
cer.Anysuchr equestshal
lbemadewi ththeappr
ovalof
-
A.AG( Audit
)
B.CAG
C.Minist
ry/Dept
t.concerned
D.Offi
cerinchargeofstores.

59.Wher eext er
nalagencyorexper tisengagedbytheAuditdepart
ment ,whowillbe
responsibl
e f or the opi nions f ormed, or the concl
usions reached, or the
recommendat ionsmadei nit
sr eportonthebasi
softheworkoft heexter
nalagencyor
expert?
A.externalagencyorexper t
B.auditoffi
ce
C.bothA&B
D.None, asexternalbodyisinvolv
edjustf
orval
ueaddit
ion.

60.Whati si ssuedbyanaudi toff

icecontai
ningtheresul
tsofaudi
tconduct
edwi t
h
ref
erencetodat a,i
nformat
ionordocumentsavail
abl
einanaudi
toraccount
soff
ice?
A.Auditmemos
B.I
nspect i
onreport
C.AuditNot es
D.PracticeNot es

61.Whatisissuedduringthecourseofauditforeli
cit
inginf
ormat
ion,conf
ir
mati
onof
fact
soranyothermatterconsi
derednecessar
ybyt heauditof
fi
ceri
nconductofaudi
t?
A.Auditmemos
B.Act
iontakenNot es
C.AuditNotes
 D.Pr
act
iceNot
es

62.Otherthan which,allauditmemosshal lbei ssued ov

ert
hesi
gnat
ureoft
he
i
nspecti
ngoffi
cerorcarryanindi
cat
ionofhisapproval?
A.anyir
regul
arit
y
B.confi
rmati
onoff act
s
C.requi
ri
ngsupplyofdocumentsandr ecords
D.None,eachmemosi gnedbyinspect
ingoff
icer.

63.Theauditof f
iceshallcommuni
cat
ether
esul
tsofaudi
ttot
heaudi
tabl
eent
it
ies
thr
ough-
A.auditnotes
B.i
nspectionreports
C.AorB
D.bothsimultaneously

64.Whi l
et hereport
ingofmaj orir
regul
ari
ti
estoGov ernment,ther
eisnoneedt owaitf
or
i
nclusionoft hemat terintheinspecti
onrepor toraudi
tnoteort heaudi tr
eportofthe
Compt rol
lerandAudi torGeneral,thesameshoul dbedoneonl yafterduev eri
fi
cati
on
withrefer
encet osupportingevidenceandasf araspossibl
eaf t
erconsideri
ngtheviews
oftheaudi t
ableenti
ty.Careneedst obet akent oensurethatonlymaj ori
rregul
ari
ti
es
arereportedinthismanner . True/f
alse

65.Thefor
m, contentandt
imeofsubmi
ssi
onofaudi
trepor
tsshal
lbedeci
dedby
-
A.CGA
B.Gover nment
C.CAG
D.President

66.The Account antGeneral(Audi t

)shallsend a copy oft
he pr
oposed audi
t
obser
vat
ions,byname, i
ntheform ofadraf
tparagr
apht o-
A.concernedSecret
arytoGov er
nment
B.Secret
arytotheGovernment ,
Mini
str
yofFinance
C.In-
chargeofAudit
ableentit
y
D.A&B

67.TheSecret arytoGov ernmentoftheconcerneddepart

mentshal
lcausepr
epar
ation
ofself
-expl
anat ory_____
_ __ont heaudi
tparagraph(
s)rel
ati
ngtohi
sdepartment
,that
arei
ncludedint heauditreport
,forsubmi
ssiontothePAC/CoPU.
A.Audi tmemos
B.Actiont akenNot es
C.Audi tNotes
D.Pract i
ceNot es
68.TheAccount antGeneral(Audit
)wil
lreportcasesofdelayto-
A.Secr etar
y( Expendit
ure),Minist
ry ofFi nance i
nt he case oft he Uni
on
Government
B.ChiefSecret
aryinthecaseofaSt ateGov ernment
C.Admi ni
str
atorincaseofaUnionTer ri
toryhavingalegi
slat
iveassembly
.
D.All
oft heabove.

69.WhichSecti
onoft heDPCActauthorisestheCompt
rol
l
erandAudi
torGener
alt
o
l
aydowngeneralpr
inci
plesofGov
ernmentaccount
ing.
A.13
B.18
C.22
D.23

70.Matchi
ngi nrespectofForm ofaccounts,findthewr ongone-
A.tr
easuries-AccountingRul
esf orTreasuries
B.publicworksdivisi
ons-AccountCode, VolumeIII
C.aut onomous bodi es and authori
ties-common f ormatprescr
ibed by t
he
Governmentwi ththeconcurrenceofCAG( except-postt
rust
,et
c.)
D.panchay ati
raji
nsti
tuti
onsandur banl ocal bodi
es-Gov
t.

71.Whichisresponsi
bleformakingrecommendati
onsregar
dingaccount
ingst
andar
ds
tobeobservedinGovernmentdepartment
sandorgani
sati
ons?
A.CGA
B.ICAI
C.Gov er
nmentAccounti
ngSt andar
dsAdvi
soryBoard(setupi
ntheO/oCAG)
D.CAG

72.TheGover
nmentAccounti
ngStandardsAdv
isoryBoar
dischair
edby
-
A.CAG
B.ADAI
C.DeputyCompt
rol
lerandAudit
orGeneral(
Commer ci
al)
D.DeputyCompt
rol
lerandAudit
orGeneral

73.TheGovernmentAccount ingStandar
dsAdv i
sor
yBoar
dhasi
tsmember
sasbel
ow,
except
-
A.Cont
roll
erGener
al ofAccounts
B.Cont
rol
lerGener
al ofDefenceAccount
s
C.Fi
nanci
alCommi ssioner(Rai
l
ways)
D.Chai
rman,Deptt
.ofPost s

74.Stat
ementsonwhi chofthefol
lowingisnottobesentbyGov
ernmentt
oAudi
t
Off
iceonannual
basis?
A.or
derssancti
oni
ngexpendi
tur
e/cont
ract
s
 B.ordersofre-
appropri
ati
onandsur
renderoff
unds
C.sanctionofgrantorl
oan
D.Listofall
offi
cesunderaHeadofDeptt.

75.Whi
chofthefoll
owingi snotrequiredtobesenttoauditof
fi
ce?
A.Copi
esofallorderssanctioningexpendi
tur
e
B.Al
lorder
sofre-appropri
ationandsur r
enderoffunds
C.Copi
esofcontractagreement s
D.Copyofeachletterofsanctionofgrantorl
oan.

76.Governmentdepartmentsshal
lsendtot heauditof
fi
cestatementsonallsanct
ions
ofexpendit
ureissuedi
nrespectofthei
rdepart
ment -
A.annuallyon15April
B.annuallyon30April
C.quarterl
yon15thdayofeachoft hemont hsofJul
y,October
,JanuaryandApri
l.
D.quarterl
yonlastdayofeachofthemont hsofJuly
,October,
JanuaryandApril
.

77.Gov ernmentdepar t
mentsshallsendaconsolidatedst
atementofcopi
esofall
ordersofr e-
appropr
iat
ionandsurrenderoffundsduri
ngafinanci
aly
eartotheaudi
t
offi
ceandt heaccountsoff
icesoastoreachby-
A.15April
B.30June
C.30April
D.30Sept.

78.Gov ernments,whi
chsanct i
ongr ant
sand/orloanstobodiesorauthori
ti
es,shall
fur
nisht otheauditof
ficeast atementofsuchbodiesandauthori
ti
estowhichgr ant
s
and/orloansaggregat
ingrupeest enlakhormorewerepai
dduringthepr
ecedi
ngy ear-
A.byendofApr i
leveryyear.
B.byendofJuneev er
yy ear.
C.byendofJulyev eryyear.
D.byendofSept emberev eryyear
.

79.Gover
nmentdepart
ment sshal
lsendt
otheaudi
toff
icestatementsofallcont
ract
s-
A.annual
lyon15April
B.annual
lyon30April
C.quart
erl
yon15thdayofeachofthemonthsofJul
y, October
,JanuaryandApri
l.
D.quart
erl
yonlastdayofeachoft
hemonthsofJuly,
Oct ober,
JanuaryandApril
.

80.Thedepartmentshal
lfur
nishanannualst at
ementt otheAccountantGener
al(
Audi
t)
contai
ningt
hedetail
soffoll
ow-upacti
ontakenonaudi tobser
vat
ionswithi
n-
A.sixweeksofthecloseofeachfinancialyear.
B.onemont hofthecloseofeachfinancial
y ear
.
C.threemonthsofthecloseofeachf i
nancialyear.
 D.si
xmont
hsoft
hecl
oseofeachf
inanci
aly
ear
.

81.Headsofdepar t
mentsshal
lsuppl
yt otheauditof
fi
ceal i
stoftheof
fi
cesunder
them asonattheendof____
_soastoreachtheaudi
tof
ficebef
oret
heendof__
___
_.
A.March,
Apri
l
B.March,
June
C.December
,Januar
y
D.December
,March

82.The Account antGener al( Audi

t)willsend t
othe concer
ned Secret
arytothe
Gov er
nmentanannualt echnicalinspect
ionrepor
tbasedont heresul
tsofauditof
panchay at
irajinsti
tut
ionsandur banlocalbodi
esconduct
edbyhisof fi
ceduri
ngthe
precedingyear.
A.byendofApr i
leveryyear.
B.byendofJuneev er
yy ear.
C.byendofJul yev eryyear.
D.byendofSept emberev eryyear
.

83.TheAccountantGeneral(Audi t
)maywr it
eamanagementl et
tert
ot heSecr
etar
yto
Governmentoftheconcerneddepar tmentcommuni cat
ingsi
gni
fi
cantobser
vati
onsand
concl
usionsemergi
ngoutofaudi tdur
ingtheprecedi
ngyear
.
A.byendofApri
leveryyear .
B.byendofJuneev er
yy ear.
C.byendofJul
yev eryyear.
D.byendofSeptemberev eryyear.

84.Thechiefexecut
iveoff
icerofthecorporat
ion(andtheGovernment
,wher
eacopyof
thedraf
tsepar ateauditreportissentt oit)shallcommunicaterepl
ytothedraf
t
separ
ateauditrepor
twithi
n_ _
____
_ _f
rom thedateofit
sissue.
A.twoweeks
B.fourweeks
C.sixweeks
D.threemonths.

85.Theadmi nist
rat
ivemini
str
y/depart
mentconcernedshal
lint
imat
eCAG i
nwr i
ti
ng
aboutt
hef ormati
on/cl
osur
eofanewGov er
nmentcompanyoradeemedGover
nment
companywi t
hin____
___ofi
tsi
ncorporat
ion.
A.twoweeks
B.fourweeks
C.sixweeks
D.onemont h.

86.The stat
utor
yauditorshal
lfur
nish r
epl
yt othe pr
ovi
sionalcomment
s oft
he
Account
antGeneral
(Audit
)wi
thi
n___
_daysofissue.
 A.3
B.5
C.7
D.15

87.TheCompt rol
lerandAuditorGener
alisauthor
isedtoconductasuppl ementar
yor
testauditoftheaccountsoft hecompanyauditedbyst at
utor
yauditor
.Thecompany
shallmakeav ail
ablethebalancesheetandtheprofitandlossaccountandanyot her
stat
ement stotheAG( Audi
t)withi
n_____af
tert
hecloseoftheyearofaccounts.
A.1mont h
B.3mont hs
C.6mont hs
D.9mont hs

88.Inthecaseofcompaniesnotl
i
stedont hest
ockexchange,t
heAccount
antGener
al
(Audi
t)mayextendthedat
einabovequest
ionby-
A.1month
B.2months
C.3months
D.6months

89.Theaudi toff
iceshallasf araspossi blegi
veadv anceint
imati
onofaminimum
peri
odof_ _
_____
_t otheoffi
cerinchargeoftheoffi
cetobeaudited,
andi
ncaseswher
e
theaudi
tinvol
vesanel ementofsurpri
secheck_ __
___.
A.threeweeks, noadvanceinti
mationneedbegiven.
B.fourweeks, noadvanceinti
mationneedbegiven.
C.sixweeks, 1week
D.threemont hs,noadvanceinti
mat i
onneedbegiven.

90.Casesoffail
uretopr
ov i
dedata,
infor
mationanddocumentsshallberepor
tedbythe
audi
tof fi
cetot hecontrol
li
ng off
icerand,ifconsi
dered necessar
y,theconcerned
Governmentforappropr
iateact
ionandt heseauthor
it
iesshalli
nformtheauditoffi
ce
abouttheacti
ontakenwithi
n-
A.4weeks
B.6weeks
C.1month
D.t
hreemonths

91.Theaudi toff
iceshal
lasfaraspossi
blei
ssuetheinspecti
onrepor
toraudi
tnotes
wit
hin___
_ _
_f rom t
hedateofcompl
eti
onofauditorsuchotherper
iodaspr
escr
ibedin
thi
sregar
d.
A.twoweeks
B.threeweeks
C.fourweeks
 D.si
xweeks.

92.Theoffi
cerinchargeoft
heaudi
tabl
eenti
tyshal
lsendt
her
epl
ytoanaudi
tnot
eor
i
nspect
ionreportwit
hin__
___
_ofi
tsr
eceipt
.
A.twoweeks
B.threeweeks
C.fourweeks
D.sixweeks.

93.TheAccount antGeneral(
Audit)shal
lint
imat
eev er
yinstanceofmajorirr
egulari
ty
detectedinAuditt hr
oughaspecialmanagementlet
tertotheSecret
arytoGovernment
oftheconcer neddepartmentwit
hacopyt otheHeadoftheDepartmentwit
hin____
_ _of
theinstancecomi ngtonoti
ceinaudit
.
A.twoweeks
B.threeweeks
C.fourweeks
D.sixweeks

94.On i ntimati
on oft he maj orir
regul
ari
ty by AccountantGeneral(Audi
t)
,t he
Gov ernmentshal lundert
akeprimafacieveri
fi
cati
onoff actsandsendtoAccountant
Gener al(Audit)apr el
iminaryr
eportconfi
rmingordeny ingthefact
swi t
hin___
__of
receiptofintimat
ionfrom him.
A.twoweeks
B.threeweeks
C.fourweeks
D.sixweeks

95.Wher et he factofmaj ori r

regulari
tyi
s notdenied bythe Gov ernmenti nt
he
prel
i
minaryr eport,the Governmentshal lfurt
hersend a det ai
led repor ttothe
AccountantGener al(Audi
t)withi
n_ __
____ofprel
imi
nar
yr ti
epor nterali
ai ndicat
ingt
he
remedi
alactiont akentopreventrecurr
enceandacti
ontakenagainstthoser esponsi
ble
fort
helapse.
A.4weeks
B.6weeks
C.1mont h
D.threemont hs

96.EachHeadofDepar tmentshal
lint
he_ __
__ofeachyearmakeanannualpubl
i
c
stat
ementregardi
ngpendi
ngaudi
tobser
vat
ionsrel
ati
ngt
ohisdepar
tment
.
A.Aprilmonth
B.Junemont h
C.fir
stquart
er
D.lastquar
ter
97.The Account antGener al(Audit)shallsend a copy oft he proposed audi
t
observat
ionsinthefor
m ofadraftparagraphtotheconcernedSecretarytoGov er
nment
byname f orcommuni cat
ing t
he comment s,obser
vations and explanat
ion ofthe
Governmentwi thi
naper i
odof_ ___
_f rom thedateoft heletterorwithinsuchother
peri
odoft imeasmaybespeci f
ied.
A.twoweeks
B.threeweeks
C.fourweeks
D.sixweeks

ANSWERS

1 C 34 D 67 B
2 D 35 B 68 D
3 D 36 D 69 D
4 D 37 A 70 D
5 D 38 B 71 C
6 D 39 A 72 D
7 A 40 D 73 D
8 D 41 C 74 A
9 A 42 C 75 C
10 D 43 A 76 C
11 B 44 A 77 C
12 B 45 C 78 C
13 A 46 C 79 C
14 D 47 D 80 D
15 A 48 B 81 C
16 B 49 D 82 B
17 C 50 B 83 A
18 D 51 A 84 A
19 A 52 A 85 D
20 C 53 B 86 A
21 D 54 C 87 B
22 C 55 C 88 A
23 A 56 B 89 A
24 C 57 D 90 D
25 D 58 A 91 D
26 D 59 B 92 C
27 D 60 C 93 D
28 A 61 A 94 D
29 C 62 C 95 D
30 E 63 C 96 C
31 B 64 T 97 D
32 B 65 C
33 D 66 D