The 'Comptroller and Auditor General' (CAG) is not responsible for audit of:
A. Government companies
B. Autonomous bodies substantially financed by government
C. Public sector banks (statutory audit by CA firms)
D. Government departments
Answer: Option C
Solution (By JKSSB Mock Tests)
Statutory audit of public sector banks is conducted by chartered accountant firms appointed by RBI/Central Government; CAG conducts supplementary audit.
S1: In standard costing, the 'Idle Time Variance' is always adverse. S2: 'Abnormal Idle Time' is treated as a cost of the period and transferred to the Costing P&L. Which statement(s) is/are correct?
Explanation:
Idle time represents unproductive time, so the variance is always adverse (actual > standard). Normal idle time is absorbed in overheads, but abnormal idle time (due to strikes, accidents) is treated as a period cost and charged to the Costing P&L. Both are correct.
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