The 'Subsequent Events' review period extends to: MCQ with Answer and Explanation

Question
The 'Subsequent Events' review period extends to:
A. Balance sheet date
B. No fixed date
C. Date of approval of financial statements (if auditor's report is dated later) or date of auditor's report
D. One month after
Answer: Option C
Solution (By JKSSB Mock Tests)
The auditor's responsibility for subsequent events covers the period up to the date of auditor's report.
This question belongs to: Accountancy and Statistics Accountancy and Book Keeping
Request complete Subject PDF

Discuss this Question (0)

No comments yet. Be the first to start the discussion!

Practice More Accountancy and Book Keeping Questions

Question #1
Which of the following describes 'Deferred Revenue Expenditure'?
A. Heavy initial advertising campaign for a new product
B. Routine repairs to machinery
C. Buying a building
D. Payment of outstanding wages
Discuss
Get Complete Subject PDF for Accountancy and Statistics

Correct Answer: Option A

Explanation:
It is a revenue expense whose benefit is expected to extend beyond one accounting period, so it is amortized over a few years.
This question belongs to: Accountancy and Statistics Accountancy and Book Keeping
Question #2
The 'Financial Reporting' under Indian GAAP for non-corporate entities is governed by:
A. Ind AS only
B. Accounting Standards (AS) issued by ICAI
C. Companies Act only
D. IFRS
Discuss
Get Complete Subject PDF for Accountancy and Statistics

Correct Answer: Option B

Explanation:
Non-company entities follow AS issued by ICAI.
This question belongs to: Accountancy and Statistics Accountancy and Book Keeping
Question #3
A manager is entitled to a 5% commission on net profit BEFORE charging his commission. If profit is Rs 1,05,000, his commission is:
A. Rs 4,750
B. Rs 10,500
C. Rs 5,000
D. Rs 5,250
Discuss
Get Complete Subject PDF for Accountancy and Statistics

Correct Answer: Option D

Explanation:
Commission = Profit * (Rate/100) = 1,05,000 * 5% = Rs 5,250.
This question belongs to: Accountancy and Statistics Accountancy and Book Keeping
Explore All Accountancy and Book Keeping MCQs
Today's Top Topics
Accountancy and Book Keeping 1861 Statistics 1318
Explore Subjects
Accountancy and Statistics 3179 Economy GK 2220 English 15164 Computer 5279 Current Affairs 575
Practice Mix
Which of the following is an indirect tax in India?
The valve between the left atrium and left ventricle is the:
A person faces north. He turns 45° left, then 90° right, then 45° left. Which direction is he facing?
Under the Income Tax Act, the 'TDS' on the sale of an immovable property (other than agricultural land) by a resident is governed by which section, and what is the rate?
In 'Piecemeal Distribution' during dissolution, the first priority for payment of outside liabilities is: