Professional Ethics – Test 3

A member of the Institute in practice or the firm of Chartered Accountants of which he is a partner, shall maintain and keep in respect of his/its professional practice, roper books of account including:

A member of the Institute in practice shall not accept the appointment as auditor of an entity in case the undisputed audit fee of another Chartered Accountant for carrying out the statutory audit under the Companies Act, 2013 or various other statutes has not been paid. However, this prohibition shall not apply in case of:

A member of the Institute in practice shall not accept the appointment as statutory auditor of a Public Sector Undertakings where he accepts any other work or assignment or service in regard to the same undertaking on a remuneration which in total

A member of the Institute in practice or a partner of a firm in practice or a firm shall not accept appointment as auditor of a concern while indebted to the concern or give any guarantee or provided any security in connection with the indebtedness of any third person to the concern, the limits fixed in the statute and in other cases for amount exceeding

As a self-regulatory measure, the branch audits of a company should not be conducted by its statutory auditors consisting of

As a self-regulatory measure, in the case of large companies, the practice of associating a practicing firm with___________as Joint auditors should be encouraged.

As a self-regulatory measure, in the Council’s view, a practicing firm of Chartered Accountants engaged in audit work should have at least_________non-qualified members of the staff, excluding articled and audit clerks, typists, peons and other persons not engaged directly in such professional work.

In recent decisions of Ethical Standards Board, it has been decided that a Chartered accountant can hold the credit card of a bank when he is also the auditor of the bank, provided the outstanding balance on the said card does not exceed________beyond the prescribed credit period limit on credit card given to him.

Which of the following is not true:

If a CA in practice or a firm of CA has more than one office in India, each one of such offices should be in the separate charge of a person, who shall be:

If a CA in practice or a firm of CA has more than one office in India, each one of such offices should be in the separate charge of a person. However, exemption from separate incharge is available in case of second office if it situated:

If a CA in practice or a firm of CA has more than one office in India, each one of such offices should be in the separate charge of a person. However, exemption from separate in-charge is available in case of second office if ti situated:

A CA in Practice is deemed to be guilty of professional Misconduct if he allows any person to practice in his name as a Chartered Accountant, unless such person is also a

Mr. X is a practicing Chartered Accountant. Mr. Y is a practicing Advocate representing matters in the court of law. X and Y decided to help each other in the matters involving their professional expertise Accordingly, Mr. X recommends Mr. Y in all litigation matters in the court of law an Y consults X in all matters relating to finance and other related matters, which comes to him in arguing various cases. Consequently, they started sharing profits of their professional work.

A Chartered Accountant in practice, empaneled as IP (Insolvency Professional) has mentioned the same on his visiting cards, letter heads and other communications also. Mr. A, who is residing in his neighborhood has filed a complaint for professional misconduct against the said member for such mention of insolvency professional on circulations.

As per__________, a member in practice shall be deemed to be guilty of professional misconduct if he accepts a position as Auditor previously held by another chartered accountant or certified auditor without first communicating with him in writing.

A Ca in practice shall be deemed to be guilty of professional misconduct if he accepts an appointment as auditor of a company, without ascertaining whether requirements of:

Mr. ‘C’, a Chartered Accountant holds a certificate of practice while in employment also, recommends a particular lawyer to his employer in respect of a case. The lawyer, out of the professional fee received from employer paid a particular sum as referral fee to Mr. ‘c’

A CA is deemed to be guilty of professional misconduct if he not being a fellow of the Institute but acts as a fellow of the Institute. This code of conduct is applicable in case of:

A CA is deemed to be guilty of professional misconduct under First Schedule if he_________the Institute, Council or any of its committees, Direcor (Discipline), Board of Discipline, Disciplinary Committee, Quality Review Board or the Appellate authority.

As per Part IV of First Schedule of Chartered Accountants Act, 1949, a member of the Institute, whether in practice or not, shall be deemed to be guilty of other misconduct, if he is held guilty of any civil or criminal court for an offence which is punishable with imprisonment for a term not exceeding_________months.

Mr. Z, a Chartered Accountant was invited was invited by the Chamber of Commerce to present a paper in a symposium on the issue facing Indian Leather Industry. During the course of his presentation he shared some of the vital information of his client’s business under the impression that it will help the Nation to compete with other countries at international level.

A CA in practice appearing on television on budget proposals was introduced to the viewers, on the basis of the bio-data furnished by him, as the senior most partner of M/S Tick & Tag a leading firm of CA’s established in Delhi in 1980. CA will be guilty of professional misconduct due to:

PQR & Associates, Chartered Accountants have their website and on the letterhead of the firm it is mentioned that “Visit our website: http://www.pqr.com“. In the website the nature of assignments handled, names of prominent clients and fees charged is also displayed. Answer with reference to the provisions of Chartered Accountants Act, 1949:

S. a practicing chartered accounting gives power of attorney to an employee chartered accountant to sign reports and financial statements, on his behalf.

XYZ Associates, a Chartered Accountants Firm is having a relationship with a multi-national accounting firm in India. The ICUI required that all firms having networking relationship with any other entity need to furnish information online within the stipulated time. XYZ Associated failed to respond.

CA. Aman, a practicing Chartered Accounting, took over as the executive chairman of signora IT Ltd.on 01.04.2018. However, realizing about obtaining prior approval form the Council of the ICAI for engaging into other business, he applied to Council for permission within 10 days.

M/s LMN & Associates, a firm of Chartered Accountants responded to a tender issued exclusively for Chartered Accountants by an organisation in the area of tax audit. However, no minimum fee was prescribed in the tender document.

CA X was appointed as the Auditor of ABC Ltd. for 2018-19. Since he declined to accept the appointment, the Board of Directors appointed CA Y as the auditor in the place of CA X, which was also accepted by CA Y.

Which of the following is not an example of self-interest threats?