The following questions are requested for the discussion on 24th April 2014

April 2013

2. (a) What do you understand by Cut off procedure in respect of verification of Stocks and Accounts
Receivables? 5

3. (b) Explain walk-through test with suitable example 5

August 2012

4. (a) Explain the difference between the responsibilities of internal auditors and external auditors for
the prevention, detection and reporting fraud and error. 6
(b) Explain the role of internal audit in the context of:
(i) Corporate governance
(ii) Organizational control.
(c) Outline the issues that should be considered when an organization decides to outsource the
internal audit function. 5

April 2010

1 (a) What do you know about limitation of scope of audit and as an Auditor what will be your
responsibilities in this regard? 5

2 (a) Explain the meaning and significance of the harmonization of financial reporting and audit
practice in the context of corporate development of Bangladesh. 10
(b) X Ltd., a newly established company has invited your firm as the first Auditor of the Company.
Keeping in mind ISA-210 Terms of Audit Engagements, you are required to write a formal letter
to the directors setting out the responsibilities for the companys financial statements for directors
as well as your firm as auditors. 5

August 2010

2 (a) How does a review engagement differ from an assurance engagement? 5

April 2012

7. (b) Describe THREE substantive procedures an auditor should perform at the year end in confirming
each of the following:
(i) The valuation of inventory; 3
(ii) The completeness of provisions or contingent liabilities. 3

How do you verify the following:

December 2012 :

(a) Reduction in share capital 3

(b) Inventory 3
(c) Impairment Loss 3

December 2008

(i) Payment for Goodwill 2

(ii) Obsolescence of inventory 2
(iii) Disputed tax liabilities 2
(iv) Goods sent on consignment basis. 2
August 2013

3. (b) Conflicts of interest and confidentiality are related matters. Where a conflict of interest arises, one
of key issues is whether it will be possible to keep information confidential. Explain. 5

April 2011

4. (c) Define what is meant by an audit trail and explain how the clients introduction of Electronic Data
Processing (EDP) can alter it. How does this change affect the auditor? 6

7 (c) What are the factors that should be consisted in determining the use of CAATs? (April 2012) 4

August 2010

3 Explain the advantages and disadvantages of CAATs. 3