During the audit of Zenith Ltd. for the year ended 31st March 2024, a major trade debtor owing ₹50 lakhs who was in severe financial difficulty as on 31st March 2024 was declared bankrupt on 20th April 2024 before approval of financial statements. Under SA 560 and Ind AS 10, how should this event be treated?

According to SA 701, 'Communicating Key Audit Matters in the Independent Auditor's Report', which of the following is an accurate statement regarding Key Audit Matters (KAM)?

Under Clause (ii)(b) of Paragraph 3 of the Companies (Auditor's Report) Order, 2020 (CARO 2020), the auditor is required to report if the company has been sanctioned working capital limits in excess of which threshold from banks or financial institutions on the basis of security of current assets?

CA Raman, a practicing Chartered Accountant, pays a monthly fee of 15% of his audit fees to Mr. Sharma, an advocate, for referring corporate clients for statutory audit. Under the Chartered Accountants Act, 1949, CA Raman is guilty of professional misconduct under which clause?

During the statutory audit of Pragati Commercial Bank Ltd. for the financial year ended 31st March, 2024, the audit team observes the following loan assets portfolio: 1. Standard Assets (Commercial Real Estate - Residential Housing): ₹120 crores 2. Sub-Standard Assets (fully secured by tangible assets): ₹40 crores 3. Sub-Standard Assets (unsecured exposure without ESCROW cover): ₹10 crores 4. Doubtful Assets (Doubtful up to 1 year - D1): ₹25 crores (Value of tangible security held is ₹15 crores) 5. Doubtful Assets (Doubtful between 1 to 3 years - D2): ₹18 crores (Value of tangible security held is ₹10 crores) 6. Doubtful Assets (Doubtful for more than 3 years - D3): ₹12 crores (Value of tangible security held is ₹4 crores) 7. Loss Assets: ₹6 crores (no recovery expected) As the statutory auditor, calculate the mandatory provisioning requirement as per RBI Prudential Norms on Income Recognition, Asset Classification and Provisioning (IRACP).

According to SA 505, 'External Confirmations', under which of the following circumstances is the use of 'Negative Confirmation Requests' as the sole substantive audit procedure permitted?

Under Clause (ix)(a) of CARO 2020, if a company has defaulted in repayment of loans or other borrowings or in the payment of interest thereon to any lender, the auditor is required to report: