1 ANKIT OBEROI COMMERCE CLASSES

ANSWERS
CORPORATE & OTHER LAWS-CA INTER
TEST NO.10
TOPIC:-COMPANY AUDIT (Sec 143-148)

NOTE:-ALL ANSWERS ARE HINTS, NOT THE SUGGESTED ANSWERS

Ans.1 Mr. Virat is disqualified as his wife has acquired share in the subsidiary company and exemption is
granted if relative acquires shares in the company in which the person is proposed to be appointed as
auditor.

Ans.2 Firm can accept all the audits as Audit of foreign company, dormant company, OPC and branch is not
counted in the limit of 20.

Ans.3 In both the cases, appointment will be void as Auditor will be appointed by C&AG.
(Please rectify Nickson Ltd. As Rohit Ltd. In the question)

Ans.4 Bumrah and Associated is disqualified to be appointed as Auditor of Golden Smith Ltd. As the firm is
operating within the same network of Shaw & Associates as they have common partner i.e. Mr. Shaw.

Ans.5 Filling of casual vacancy is void as it also requires ordinary resolution along with Board Resolution.

Ans.6 State the following Statement is Correct or Incorrect:

(a) Incorrect
(b) Incorrect

Ans.7 Multiple Choice Questions

1. (a)
2 (c)
3 (a)
4. (c)
5. (a)

CA ANKIT OBEROI 1