13)Which of the following are not the rights of the auditors?

a) The right to all information and explanations (from management) necessary for the proper conduct of the audit.

b) The right to receive notice of all meetings of the directors and to attend those meetings.

c) The right to speak at shareholders meetings on matters affecting the Management.

d) The right to visit the branches of the client and right to access all accounting books and records.

e) The right to examine and evaluate financial and information systems, recommending controls to ensure system reliability and data integrity

f) The right to review data about material assets, net worth, liabilities, capital stock, surplus, income and expenditures

Only d) , e) and f)

All a) , b) , c) , d) and e)

Only b) and c)

Only b

14)You are a trainee accountant, working for a small firm of accountants.

You receive an email from an established client, who is very grateful, and congratulates you for all your hard work. The client informs you that they would like to show their gratitude by offering you and your family the use of their villa in the Caribbean islands for a week; you would have to arrange your own flights.

What is the most appropriate form of action to take?

Advise the client that you are happy to accept the offer of the holiday, as there is no additional cost to the client and all you will have to pay for is for your flight.

Advise the client that you would first have to receive authorisation from your employer, before accepting their offer of the holiday

Decline the offer of the holiday as this would be too expensive, but suggest that you could accept a less expensive gift, such as a Smart TV.

Decline the offer of the holiday, as this might affect your objectivity in any future dealings(work).

15)NatAud which is an audit firm has started the audit for National paints LLC. Before the start of the audit, auditors have sent a notification letter and asked for the background information. Based on the background information and net worth of the National paints, the auditors have decided for limited scope of audit. It means the audit will be conducted

For two weeks only

for the transactions recorded for purchase and sales of assets only

for the first 15 days of every month

for the transactions done during the last six month