[Solved] Window dressing implies

Window dressing implies

a) Curtailment of expenses

b) Checking wastages

c) Under- valuation of assets

d) Over- valuation of assets

Answer: (d) Window dressing implies over- valuation of assets. Window dressing is a strategy used by mutual fund and other portfolio managers to improve the appearance of a fund’s performance before presenting it to clients or shareholders. To window dress, the fund manager sells stocks with large losses and purchases high-flying stocks near the end of the quarter or year.

More MCQ and Answers on Auditing

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  2. Systems audit implies
  3. Internal audit means
  4. Internal audit is
  5. Detection of errors and fraud in audit is  
  6. Internal auditor is appointed and removed by the  
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