[Solved] Investments in hand should be verified with the help of

Investments in hand should be verified with the help of

a) Schedule of investments

b) Balance sheet

c) Inspection of securities

d) Certificate from the bank

Answer: (c) Investments in hand should be verified with the help of an inspection of securities. Inspect if the cash in hand includes cheques, drafts, or some temporary advances to staff, they should be separated under the authority and properly recorded in the books of account. Get certificates from the branch auditors where he finds it difficult to verify cash in hand at the branches of the company.

More MCQ and Answers on Auditing

  1. Fixed assets are valued at
  2. Floating assets are valued at
  3. Outstanding expenses should be verified with the help of
  4. Book debts should be verified with the help of
  5. Book debts should be verified with the help of
  6. Main object of auditing is
  7. Propriety audit refers to
  8. Propriety is normally undertaken in case of
  9. Final audit implies
  10. Joint audit implies

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