pathfinder - The Institute of Chartered Accountants of Nigeria

PATHFINDER5. To which of the following should an internal auditor be responsible?A. Managing DirectorB. Chief AccountantC. Financial ControllerD. General Manager FinanceE. Top Management6. Policy decision on profitability is NOT made usingA. comparison of total profit to unit profit.B. percentage of profit to sales.C. labour turnover ratio.D. stock turnover ratio.E. contribution related to key factor.7. “Added Value” or “Value Added” can be defined asA. sales value less the cost of purchased materials.B. sales value less the cost of purchased materials and services.C. sales value less the labour and materials costs.D. sales value less fixed and variable costs.E. sales value less material cost only.8. Choose ONE of the following that cannot be apportioned on the basis of floorarea:A. Rates.B. Rent.C. Security.D. Lighting.E. Cleaning.9. Causes of discrepancies between actual stocks and recorded stocks EXCLUDEA. non-receipt of goods in time to store.B. errors of incorrect recording and calculation.C. under or over issues not noted.D. shrinkage, pilferage, evaporation, losses due to breaking bulk.E. loss or non-use of Good Received Notes,(GRN).INTERMEDIATE EXAMINATION - NOVEMBER 20105