AJKPSC Accounts Audit Finance MCQs

substantive procedure refers to an audit procedure designed to detect material misstatements

income statement refers to a statement of revenue, expenses and profit over a period

24 + 9 = 33.

net profit refers to profit remaining after all relevant expenses

inventory is the term that matches the description: goods held for sale or use in production

capital expenditure is the term that matches the description: spending that creates or improves a long-term asset

adverse opinion refers to an opinion that statements are materially and pervasively misstated

audit risk is the term that matches the description: the risk of an inappropriate audit opinion when statements are materially misstated

15% of 250 = 15/100 × 250 = 37.

75 + 5 = 80.

prudence refers to careful judgement under uncertainty without deliberate bias

revenue expenditure refers to spending whose benefit is mainly consumed in the current period