Auditor Responsible for Verification: It is the duty of an auditor to report in concrete terms that the Balance Sheet exhibits a true and fair view of the ...

A contract of insurance is a contract of indemnity and indemnity only: Indemnity is somewhat similar to compensation. Its main purpose is to compensate the ...

National Income at Constant Prices: When goods and services produced in an accounting year are valued at the base year prices, it is called national income ...

Vouchers can be classified as Primary and Collateral : Primary Vouchers: When a written evidence is available in original, it is known as primary voucher. ...

Vouching of Cash purchases Examine the payment in the cashbook: Payment for cash purchases should be vouched against the cash memos or invoices issued by ...

Vouching of cash sales Examine cash book: The auditor should examine the cash book with reference to daily cash sales summary and copies of cash memos. ...

Receipts from Debtors Before vouching the receipts from debtors, the auditor should examine, the efficiency and adequacy of the system of internal check ...

Cash transactions maybe cash receipts or cash payments. Auditor should take the following precautions while vouching cash receipts or cash payments. ...

Marine insurance is the agreement whereby the insurer undertakes. in return for a consideration, to compensate the owner of a ship or cargo for complete or ...

Intermediate Consumption: Intermediate consumption is consumption of goods and services not for direct satisfaction but for further use to produce goods ...