Goa Board Class 12 Question Paper 2025 Principles & Practice of Auditing

2025 II 24 0930 Seat No.

Time : 2 Hours PRINCIPLES AND

PRACTICE OF AUDITING

Subject Code

V 4 2 2 2

Total No. of Questions : 23 (Printed Pages : 4) Maximum Marks : 50

INSTRUCTIONS : (i) There are four sections in the question paper (A, B, C & D)
consisting of 23 questions

(ii) In Section A there are eight questions of which question
Nos. 1 to 4 are Multiple Choice Questions, question Nos. 5
& 6 are to be answered in one word, phrase or figure and
question Nos. 7 & 8 are to be answered in one sentence each.

(iii) Attempt all the questions, however internal choice is given
for question numbers 20 and 23.

(iv) Figures to the right indicate marks allotted to each question.

(v) Write the number of each question clearly on the answer
book.

Section A

1. Examples of vouchers are ...................... . 1

• Furniture, Plant & Machinery

• Goodwill, Copyrights & Trade marks

• Minute book, telephone bill & cash memos

• Cash at bank, Stock & Debtors

V-4222 1 P.T.O.

2. The procedure of checking the physical existence of the items appearing on
the date of the Balance sheet is known as ...................... . 1

• Valuation

• Vouching

• Test checking

• Verification

3. The Audit report that is issued by an auditor when the accounts and
financial statements taken as a whole do not present a true and fair view
of the results of operations is known as ...................... . 1

• Qualified Report

• Unqualified Report

• Adverse Report

• Disclaimer Report

4. The liability that may or may not occur at future date is known
as ...................... . 1

• Accrued liability

• Current liability

• Contingent liability

• Long term liability

5. Name the document that needs to be examined by the auditor for
ascertaining the total amount of rent receivable. 1

6. Name the document that needs to be examined for verifying the bank
balance. 1

7. What are ‘Intangible Assets’ ? 1

8. State one disadvantage of ‘EDP’. 1

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Section B

9. Explain any two points require for an efficient Internal check with regard
to Cash. 2

10. Mention any two points for vouching ‘Sale of Fixed Assets’. 2

11. Explain the procedure to be adopted for valuation of ‘Current Assets’.
(Write two points) 2

12. Briefly explain any two points for verification and valuation of ‘Patent
rights’. 2

13. Enumerate in two points, the procedure for verifying ‘Outstanding
expenses’. 2

14. List any four essentials of a good “Audit Report”. 2

Section C

15. As an auditor, mention three duties for vouching ‘Credit Purchases’. 3

16. List three steps to be followed for designing an efficient internal check system
for ‘Credit Sales’. 3

17. Explain three problems that an auditor faces while valuing assets. 3

18. Distinguish between ‘Audit Report’ and ‘Audit Certificate’. (Write any three
points) 3

19. As an auditor, explain any three advantages of auditing under EDP
system. 3

20. Explain the procedure for vouching ‘Freehold/Leasehold Land and Building’.
(Write any three points) 3

Or

Explain the procedure involved for vouching purchase of ‘Investments’.
(Write any three points)

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Section D

21. As an auditor, explain any four points for vouching ‘Income from Interest

and Dividend’. 4

22. Explain the procedure involved for vouching the expenditure incurred

towards “Travelling Allowance”. (Write any four points) 4

23. Explain the procedure for verification of ‘Loan advanced against security of

Stock and Shares’. (Write four points) 4

Or

Explain any four points to be followed by an auditor while verifying and
valuing “Loans advanced against Security of Land and Property”.

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