[Solved] Normally, a company auditor is appointed by the

Normally, a company auditor is appointed by the

a) Central Government

b) Shareholders

c) Board of Directors

d) Company Law board

Answer: (b) Normally, a company auditor is appointed by the Shareholders. After the incorporation of a company in the first annual general meeting, an Auditor must be appointed by the Board of Directors. The Auditor will typically hold term till the conclusion of the 6th AGM or 5 years. The appointment of an Auditor can also be made for a period of 1 year, renewable at each annual general meeting.

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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