How was aufit paper

yup Q.no.3 was a total bouncer to me...the paper is application oriented. n i guess many of them would a hav done better..so hav to watchout for valuation..dunno how he does i..

 i somhow applied to sampling...hoping its rite

Mr. President. Uttam P. Agarwal has said in the interview that questions will be application oriented...

Auditing paper was kinda tough .. could not even confirm the answers from the book .. dont know what is right and what is wrong .. What to write for the 10 mark question in Question No. 3 - Specific Assertions and Overall Assertions ?

yaa....me too dint knw wht to write for that 3rd questn....at last i jus connected it wit sampling...dats it ....

true or false was easy.....nd d other wer application level questns....wht did u ppl write for dat questn in which a bank advanced loan depending upon d valuation engineer ???????

this was seriously the easiest paper of audit question no.3 deals with the report on principal assertions and report on specific enquiries its given in two chapters company audit duties of auditor and audit report.

But regarding caro i checked surbhi bansals book but in the caro section i didnt find the point they asked i answered the the treatment of fa but what they asked "use of money given by bank for working capitaL purposes used to purchase FA"!!!!!!!!!!!!!!

  provisions applicable to use of work of expert , it was so simple.

the easiset paper i have ever seen in auditing...just awesome!!!!........what a cool paper.....

practical protions was sooo easy ..........i loved it......

Accounts and Audit both were so simple.......

Q.no. 3 was based on test chjeckin and Sampling.......and expanding the resluts obtained or opinion formed from the test checking to the poulation....simplke

you just first need to write definitions of specific assertions and overall assertions

then you need to explain test basis along with sampling but in a summary way.........

Q.6 b bank loan...using work of another auditor.....

u need to explain it by way of two conditions :

auditor should investigate about the nature of business of the client who enjoyed the loan advance...as it can easily be availbale by investigating loan agreemnent....

if he is enaged in the business of civil contracts and the machinery purchased is to be used in the same business then the auditor can usethework of an expert civil engg.)......otherwise in all other cases......auditor will qualify his opininon and if necesaary may he may alos disclose hios work and the details of the expert inm his qualified audit report......

simple....

yeah rohit.. i also searched for the point about the CARO point it was not given.. why should they even ask such a detailed question in exam..

and about the question 3..

it was a question related to sec 227(1A) - report on specific inquiry and sec 227(3) - report on principle assertions..

and regarding the CARO question.. it wasnt regarding the purchase of FA out of bank's money.. it was about  purchasing FA above the "limits" of the bank regarding working capital.. now try to find the point.. i couldnt find it though..

the question regarding FA is  the use of working capital limits....as it shuld b used for working capital requirements only...bt whre as the co. has used it for purchase of a FA..so the end use of the monies available is nt in accordance with the specified purpose for which it was received...so hence the auditor has to report the fact in CARO,...correct me if am wrong

and the question regarding the advancement of bank loan   by bank on valuation of a civil engineer....i dont agree wid wat anurag has said...coz civil engineer can only give valuation certificates regarding the civil constructions and civil works,...bt nt for a machinery ..so hez nt the competent person to get the valuation from..so valuation of machinery can be done only by a mechanical engineer ...even if the machinery purchased is used for the purpose of civil works,,it has to be valued by a mechanical engineer only...

I agree, but since i have not mentioned this point i.e compitent engineer , will i score 0 in this question?

 now m afraid man, audit is not as simple as it seems......... till yesterday i was confident i will score good but now after this discussion , i just cant anticipate the marking process..........woow, thrilled

anyways whats the point in crying over spoilt milk.................

only thing in my hand is 2 wait n watch.............. CA INSTITUTE WALO KI AAG.........HEHEHE