41)The auditor shall express an adverse opinion when a matter is _____.

a.

Material

b.

Both material and pervasive

c.

Pervasive

d.

Immaterial

42)What will the auditor do in respect of misstatement which in his opinion are immaterial?

a.

Give an adverse opinion

b.

Cant form an opinion

c.

Give unmodified/unqualified opinion.

d.

Give modified/qualified opinion

43)Which of the following concept states that a business will continue its operations for the foreseeable future and the company will not be forced to liquidate in near future.

a.

Going concern

b.

Accrual basis

c.

Consistency concept

44)An audit report is normally addressed to ______________

a.

Stakeholders

b.

Government

c.

Shareholders

d.

Management

d.

Materiality