T R Chadha & Co Llp Audit Associate Interview Questions and Answers

Assertion is a claim or statement made by management regarding the financial statements.

• Assertions are made by management to ensure the accuracy and completeness of financial statements.

• There are different types of assertions such as existence, completeness, valuation, rights and obligations, etc.

• For example, the assertion of existence would state that all reported assets and liabilities actually exist.

• Auditors test th...read more

Materiality is the concept of determining the significance or importance of an item or event in relation to financial statements.

• Materiality helps auditors decide what information to focus on during an audit

• It is based on the size, nature, and circumstances of an item or event

• Materiality is subjective and can vary depending on the context

• For example, a small error in a company's financial statements may not be consider...read more

Different types of audit opinions include unqualified, qualified, adverse, and disclaimer.

• Unqualified opinion: clean opinion, no material misstatements found

• Qualified opinion: some limitations or scope restrictions, but overall financial statements are fairly presented

• Adverse opinion: significant material misstatements found, financial statements are not fairly presented

• Disclaimer opinion: auditor unable to form an opi...read more

Forensic audit focuses on investigating fraud and misconduct, while other audits focus on financial statements and compliance.

• Forensic audit involves investigating fraud, embezzlement, and misconduct within an organization.

• Other audits, such as financial statement audits and compliance audits, focus on verifying the accuracy of financial records and ensuring compliance with laws and regulations.

• Forensic auditors often ...read more

Recent financial scandals include Wirecard, Luckin Coffee, and Toshiba. Investigation would involve reviewing financial statements, conducting interviews, and analyzing internal controls.

• Reviewing financial statements for inconsistencies and irregularities

• Conducting interviews with key personnel and stakeholders

• Analyzing internal controls and governance structures

• Examining audit trails and transaction records

• Utilizing ...read more

Experienced audit executive with a strong background in financial analysis and risk management.

• Over 10 years of experience in auditing and financial analysis

• Skilled in risk management and compliance

• Led successful audits for Fortune 500 companies

• Strong communication and leadership skills

• Certified Public Accountant (CPA)

Internal audit is an independent, objective assurance and consulting activity designed to add value and improve an organization's operations.

• Internal audit evaluates the effectiveness of an organization's risk management, control, and governance processes.

• It provides recommendations for improvement and helps the organization achieve its objectives.

• Internal audit can cover a wide range of areas, such as financial, opera...read more