AUDITORS
QUESTION 1
April 2024 Question Six B
Outline FIVE powers of a company’s external auditor. (5 marks)
QUESTION 2
December 2023 Question Six A and B
(a) The role of auditing is undertaken by a person with the relevant competencies and independence to make appropriate judgment.
With reference to the above statement, identify SIX persons who are disqualified from appointment as auditors. (6 marks)
(b) Describe THREE rights of auditors of a company as provided for in the Companies Act in your country. (6 marks)
QUESTION 3
August 2023 Question One B
Summarise any FOUR legal duties of a company’s external auditor. (4 marks)
QUESTION 4
April 2023 Question Four A
The general rule is that an auditor is only liable to the company for professional negligence. Discuss THREE circumstances under which the auditor of a company might be liable to third parties for professional negligence. (6 marks)
QUESTION 5
December 2022 Question Six C
The role of a financial auditor is played by a person with the relevant competencies and independence to make appropriate judgement.
Identify FOUR persons who are disqualified from appointment as financial auditors.
(4 marks)
QUESTION 6
August 2022 Question Seven A
Discuss three ways through which a casual vacancy in the office of a company auditor might be filled. (6 marks)
QUESTION 7
April 2022 Question Six C
Members of a company might remove an auditor from office at any time by an ordinary resolution at a meeting.
Discuss three legal requirements for such removal. (6 marks)
QUESTION 8
December 2021 Pilot Paper Question Four
(a) Explain three rights of a company’s auditor in relation to a company’s general meetings. (6 marks)
(b) Explain three requirements for a notice by a company’s members’ statement about audit concerns. (6 marks)
(c) Give four circumstances under which an auditor in office will not be considered as re-appointed if no appointment of an auditor is made at the end of a term of appointment.
(8 marks)
QUESTION 9
September 2021 Question Seven B
Summarise the procedure of filling a casual vacancy in the office of a company auditor.
(6 marks)
QUESTION 10
May 2021 Question One A
XYZ Ltd. is a newly formed company which deals in manufacture and supply of stationery.
The board of directors of XYZ Ltd. is composed of first time directors who are not conversant with company operations.
Advise the board of directors of XYZ Ltd. with regards to auditors and specifically on the following:
(i) Eligibility for appointment as a statutory auditor of a company. (3 marks)
(ii) Auditor’s rights to information from foreign subsidiaries. (3 marks)
(iii) Person mandated by law to provide an auditor with information or explanations as the auditor thinks necessary for carrying out their responsibilities. (4 marks)
QUESTION 11
November 2020 Question five B
Discuss five rights of a financial auditor who is resigning from a company. (10 marks)
QUESTION 12
November 2019 Question two B
With reference to external auditors:
(i) Highlight four ways in which the remuneration of the Company Auditor might be fixed. (4 marks)
(ii) Discuss three remedies available to a company whose auditor has been negligent.
(6 marks)
QUESTION 13
May 2019 Question Four A
In the context of company auditors:
(i) Summarise the criteria used for the appointment of an eligible natural person or firm as a statutory auditor. (2 marks)
(ii) Describe four individuals who may not act as statutory auditors of an auditee company. (4 marks)
(iii) Outline four rights of an auditor of a company in relation to meetings. (4 marks)
QUESTION 14
May 2018 Question four C
Explain the duties of company auditors under the following sub-headings:
(i) Duties towards the company. (5 marks)
(ii) Duties towards the general public. (3 marks)
QUESTION 15
November 2017 Question one C
(i) Summarise four rules governing the appointment of the first auditors of a company.
(8 marks)
(ii) Outline two ways in which a company auditor might receive his remuneration.
(2 marks)
QUESTION 16
May 2017 Question four A
Describe three instances when an auditor of a company might not be held liable to a third party for alleged professional negligence. (6 marks)
QUESTION 17
May 2017 Question four B
Highlight four rights of an auditor in relation to resolutions and meetings. (4 marks)
QUESTION 18
November 2016 Question six A
The Companies Act provides that if no auditor has been appointed by the end of the next period for appointing auditors, any auditor in office immediately before that time is taken to be re-appointed at that time.
With reference to public companies, summarise five exceptions to the above provision.
(10 marks)
QUESTION 19
May 2016 Question five B
Enumerate the rights granted to a company auditor to enable him perform his duties as an auditor. (8 marks)
QUESTION 20
September 2015 Question five A
Explain three grounds for removal of an auditor of a company. (6 marks)
