MAY 2013 – Page 3

AAA – Nov 2013 – L3 – SB – Q6 – Auditor’s Legal Liability

Discuss criminal charges against accountants, reasons auditors prefer out-of-court settlements, and the disadvantages of such settlements.

Question

Auditors’ liabilities may arise under common law and statute. Statutory liability may be civil or criminal. Professional accountants are increasingly guiding against incidences of litigation that may impact negatively on their work.

You are required to:

(a) Outline SIX ways through which accountants may be charged for criminal offenses. (6 Marks)

(b) Explain SIX reasons why auditors are willing to settle legal matters with their clients out of court. (6 Marks)

(c) State THREE disadvantages of an out-of-court settlement. (3 Marks)

(Total: 15 Marks)

Answer

Find Related Questions by Tags, levels, etc.

Tags: Auditor Liability, criminal offenses, legal considerations, Litigation, Out of Court Settlement, Professional Ethics
Level: Level 3

Topic: Auditor’s Legal Liability
Series: MAY 2013

AAA – Nov 2013 – L3 – AII – Q2 – Audit Evidence

Audit Evidence, Balance Confirmation, Reporting Dates, Discrepancy, Fraud

Question

A reported difference in a confirmation of balances by a debtor to a client due to different reporting date but not due to misstatement or fraud is known as………………….

Answer

Find Related Questions by Tags, levels, etc.

Tags: Audit evidence, Balance Confirmation, Discrepancy, Fraud, Reporting Dates
Level: Level 3

Topic: Audit evidence
Series: MAY 2013, NOV 2013

BL – May 2013 – L1 – SB – Q6C – Law of Trusts

Explain the reporting duty of a bank and stockbroker in cross-border transfers involving Dr. Aminu.

Question

Dr. Aminu recently transferred the sum of US$11,000 to his account in Business Bank Plc, Lagos, from his bank in the United States. He also informed his stockbroker of his intention to transfer his shares in some Nigerian companies listed on the New York Stock Exchange to his C.S.C.S. account with the stockbroker in Nigeria. The shares are valued at US$20,000.

You are required to:

Explain the reporting duty of Business Bank Plc and the stockbroker.

Answer

Find Related Questions by Tags, levels, etc.

Tags: Bank Transfers, Cross-Border Transactions, Nigerian Law, Reporting Duty
Level: Level 1

Topic: Law of Trusts
Series: MAY 2013

BL – May 2013 – L1 – SB – Q6B – Law of Trusts

Explain the duties of trustees regarding the disbursement of trust funds to beneficiaries.

Question

Biodun and Johanna are twins of twenty-one years of age. By the Will of their deceased father that came into effect ten years ago, the trustees were directed to invest a sum of N5 million and apply the income to the education of Biodun and Johanna. These beneficiaries have directed that the trustees pay the N5 million over to them.

You are required to:

Explain the duty of the trustees in relation to the directive of Biodun and Johanna.

Answer

Find Related Questions by Tags, levels, etc.

Tags: Disbursement, Trust Funds, Trustees
Level: Level 1

Topic: Law of Trusts
Series: MAY 2013

BL – May 2013 – L1 – SB – Q6A – Law Relating to Banking

State three reasons a creditor may present a bankruptcy petition against a debtor.

Question

Explain THREE reasons for which a creditor shall be entitled to present a bankruptcy petition against a debtor.

Answer

Find Related Questions by Tags, levels, etc.

Tags: Bankruptcy, Creditor’s Petition, Liquidated Debt
Level: Level 1

Topic: Law Relating to Banking
Series: MAY 2013

BL – May 2013 – L1 – SB – Q5D – Company Law

Explain the procedure to fill a casual vacancy in the office of the company’s auditor.

Question

Chief Ogongo, the Chairman of the recently incorporated Fortune Finance Limited,
has requested your advice on the appointment of auditors of the company,
particularly on the following issues:

What should be done where there is a casual vacancy in the offices of the auditors?

Answer

Find Related Questions by Tags, levels, etc.

Tags: Auditor, Casual Vacancy, Company Law
Level: Level 1

Topic: Company Law
Series: MAY 2013

BL – May 2013 – L1 – SB – Q5C – Company Law

Discuss what happens if no auditors are appointed at the AGM.

Question

Chief Ogongo, the Chairman of the recently incorporated Fortune Finance Limited,
has requested your advice on the appointment of auditors of the company,
particularly on the following issues:

What happens if, at an Annual General Meeting, no auditors were appointed or re-appointed?

Answer

Find Related Questions by Tags, levels, etc.

Tags: Company Law, Failure to Appoint Auditors
Level: Level 1

Topic: Company Law
Series: MAY 2013

BL – May 2013 – L1 – SB – Q5B – Company Law

Explain how existing auditors can be re-appointed without objection at the AGM.

Question

Chief Ogongo, the Chairman of the recently incorporated Fortune Finance Limited,
has requested your advice on the appointment of auditors of the company,
particularly on the following issues:

How would the existing auditors of the company, desirous of re-election at the next Annual General Meeting, and without objection, be re-appointed?

Answer

Find Related Questions by Tags, levels, etc.

Tags: Company Law, Re-Appointment of Auditors
Level: Level 1

Topic: Company Law
Series: MAY 2013

BL – May 2013 – L1 – SB – Q5A – Company Law

Explain how the first auditors of a company are appointed.

Question

Chief Ogongo, the Chairman of the recently incorporated Fortune Finance Limited,
has requested your advice on the appointment of auditors of the company,
particularly on the following issues:

How will the first auditors of the company be appointed?

Answer

Find Related Questions by Tags, levels, etc.

Tags: Appointment of Auditors, Company Law, First Auditors
Level: Level 1

Topic: Company Law
Series: MAY 2013

BL – May 2013 – L1 – SB – Q4B – Company Law

Explain two conditions Harddin Limited must fulfill to invite public subscription.

Question

Harddin Limited has informed you of its intention to invite the public to acquire its securities and to deposit money with it for a fixed period payable at call.

You are required to:

Explain TWO conditions that Harddin Limited must fulfill to achieve its proposed plan.

Answer

Find Related Questions by Tags, levels, etc.

Tags: Company Conversion, Investment and Securities Act, Public Subscription
Level: Level 1

Topic: Company Law
Series: MAY 2013

BL – May 2013 – L1 – SA – Q16 – Law of Trusts

This question tests the knowledge of how trustees of a property are appointed.

Question

The trustees of a property settled in a Will are appointed by the ___________.

Answer

Find Related Questions by Tags, levels, etc.

Tags: Appointment, Trust Law, Will
Level: Level 1

Topic: Law of Trusts
Series: MAY 2013

BL – May 2013 – L1 – SA – Q15 – Law of Contract

This question tests knowledge of the type of insurance that is not a contract of indemnity.

Question

The only type of insurance that is NOT a contract of indemnity is ___________.

Answer

Find Related Questions by Tags, levels, etc.

Tags: Contract Law, Insurance
Level: Level 1

Topic: Law of Contract
Series: MAY 2013

BL – May 2013 – L1 – SA – Q14 – Agency Law

This question tests the term describing the agency relationship created by representation.

Question

The relationship that is created as a result of the representation by the principal which leads a third party reasonably to believe that an agency relationship exists is known as agency by ___________.

Answer

Find Related Questions by Tags, levels, etc.

Tags: Agency, Estoppel
Level: Level 1

Topic: Agency Law
Series: MAY 2013

BL – May 2013 – L1 – SA – Q13 – Partnership Law

This question tests the method of sharing profits where no agreement exists.

Question

In a partnership, where there is no agreement on sharing of profits, how do the partners share the profit?

Answer

Find Related Questions by Tags, levels, etc.

Tags: Partnership, Profit Sharing
Level: Level 1

Topic: Partnership Law
Series: MAY 2013

BL – May 2013 – L1 – SA – Q12 – Hire Purchase and Consumer Credit Transactions

This question tests knowledge of a transaction with an option to buy goods.

Question

A transaction in which the person in possession of goods has an option to buy the goods or terminate the relationship and return the goods to the owner at any time is called ___________.

Answer

Find Related Questions by Tags, levels, etc.

Tags: Financial Transactions, Hire Purchase
Level: Level 1

Topic: Hire Purchase and Consumer Credit Transactions
Series: MAY 2013

BL – May 2013 – L1 – SA – Q11 – Law of Tort

This question tests the concept of liability that occurs without intention or negligence.

Question

The liability that occurs where the damage to the plaintiff occurred without intention or negligence on the defendant’s part is called ___________.

Answer

Find Related Questions by Tags, levels, etc.

Tags: Law of Tort, Strict Liability
Level: Level 1

Topic: Law of Tort
Series: MAY 2013

BL – May 2013 – L1 – SA – Q10 – Negotiable Instruments

This question tests the definition of the process of transferring a bill.

Question

The process of transferring a bill from one person to another in such manner as to constitute the transferee the holder of the bill is called ___________.

Answer

Find Related Questions by Tags, levels, etc.

Tags: Negotiable Instruments, Transfer of Bills
Level: Level 1

Topic: Negotiable Instruments
Series: MAY 2013

BL – May 2013 – L1 – SA – Q9 – Company Law

This question tests the time frame for filing a return on the allotment of shares.

Question

Within what period must a company limited by shares file a return on allotment of shares with the Corporate Affairs Commission for registration?

Answer

Find Related Questions by Tags, levels, etc.

Tags: Allotment of Shares, Company Law
Level: Level 1

Topic: Company Law
Series: MAY 2013

BL – May 2013 – L1 – SA – Q8 – Company Law

This question tests knowledge of the type of company that must not have share capital.

Question

A company that must NOT have share capital is ___________.

Answer

Find Related Questions by Tags, levels, etc.

Tags: Company Law, Limited by Guarantee
Level: Level 1

Topic: Company Law
Series: MAY 2013

BL – May 2013 – L1 – SA – Q7 – Company Law

This question assesses the concept of insurable interest in a company.

Question

A shareholder has no insurable interest in the __________ of the company.

Answer

Find Related Questions by Tags, levels, etc.

Tags: Insurable Interest, Insurance Law
Level: Level 1

Topic: Company Law
Series: MAY 2013

Series: MAY 2013

Filter by Professional Bodies

Filter by Subject

Filter by Series

Filter by Topics

Filter by Levels

AAA – Nov 2013 – L3 – SB – Q6 – Auditor’s Legal Liability

Discuss criminal charges against accountants, reasons auditors prefer out-of-court settlements, and the disadvantages of such settlements.

You're reporting an error for "AAA – Nov 2013 – L3 – SB – Q6 – Auditor’s Legal Liability"

AAA – Nov 2013 – L3 – AII – Q2 – Audit Evidence

Audit Evidence, Balance Confirmation, Reporting Dates, Discrepancy, Fraud

You're reporting an error for "AAA – Nov 2013 – L3 – AII – Q2 – Audit Evidence"

BL – May 2013 – L1 – SB – Q6C – Law of Trusts

Explain the reporting duty of a bank and stockbroker in cross-border transfers involving Dr. Aminu.

You're reporting an error for "BL – May 2013 – L1 – SB – Q6C – Law of Trusts"

BL – May 2013 – L1 – SB – Q6B – Law of Trusts

Explain the duties of trustees regarding the disbursement of trust funds to beneficiaries.

You're reporting an error for "BL – May 2013 – L1 – SB – Q6B – Law of Trusts"

BL – May 2013 – L1 – SB – Q6A – Law Relating to Banking

State three reasons a creditor may present a bankruptcy petition against a debtor.

You're reporting an error for "BL – May 2013 – L1 – SB – Q6A – Law Relating to Banking"

BL – May 2013 – L1 – SB – Q5D – Company Law

Explain the procedure to fill a casual vacancy in the office of the company’s auditor.

You're reporting an error for "BL – May 2013 – L1 – SB – Q5D – Company Law"

BL – May 2013 – L1 – SB – Q5C – Company Law

Discuss what happens if no auditors are appointed at the AGM.

You're reporting an error for "BL – May 2013 – L1 – SB – Q5C – Company Law"

BL – May 2013 – L1 – SB – Q5B – Company Law

Explain how existing auditors can be re-appointed without objection at the AGM.

You're reporting an error for "BL – May 2013 – L1 – SB – Q5B – Company Law"

BL – May 2013 – L1 – SB – Q5A – Company Law

Explain how the first auditors of a company are appointed.

You're reporting an error for "BL – May 2013 – L1 – SB – Q5A – Company Law"

BL – May 2013 – L1 – SB – Q4B – Company Law

Explain two conditions Harddin Limited must fulfill to invite public subscription.

You're reporting an error for "BL – May 2013 – L1 – SB – Q4B – Company Law"

BL – May 2013 – L1 – SA – Q16 – Law of Trusts

This question tests the knowledge of how trustees of a property are appointed.

You're reporting an error for "BL – May 2013 – L1 – SA – Q16 – Law of Trusts"

BL – May 2013 – L1 – SA – Q15 – Law of Contract

This question tests knowledge of the type of insurance that is not a contract of indemnity.

You're reporting an error for "BL – May 2013 – L1 – SA – Q15 – Law of Contract"

BL – May 2013 – L1 – SA – Q14 – Agency Law

This question tests the term describing the agency relationship created by representation.

You're reporting an error for "BL – May 2013 – L1 – SA – Q14 – Agency Law"

BL – May 2013 – L1 – SA – Q13 – Partnership Law

This question tests the method of sharing profits where no agreement exists.

You're reporting an error for "BL – May 2013 – L1 – SA – Q13 – Partnership Law"

BL – May 2013 – L1 – SA – Q12 – Hire Purchase and Consumer Credit Transactions

This question tests knowledge of a transaction with an option to buy goods.

You're reporting an error for "BL – May 2013 – L1 – SA – Q12 – Hire Purchase and Consumer Credit Transactions"

BL – May 2013 – L1 – SA – Q11 – Law of Tort

This question tests the concept of liability that occurs without intention or negligence.

You're reporting an error for "BL – May 2013 – L1 – SA – Q11 – Law of Tort"

BL – May 2013 – L1 – SA – Q10 – Negotiable Instruments

This question tests the definition of the process of transferring a bill.

You're reporting an error for "BL – May 2013 – L1 – SA – Q10 – Negotiable Instruments"

BL – May 2013 – L1 – SA – Q9 – Company Law

This question tests the time frame for filing a return on the allotment of shares.

You're reporting an error for "BL – May 2013 – L1 – SA – Q9 – Company Law"

BL – May 2013 – L1 – SA – Q8 – Company Law

This question tests knowledge of the type of company that must not have share capital.

You're reporting an error for "BL – May 2013 – L1 – SA – Q8 – Company Law"

BL – May 2013 – L1 – SA – Q7 – Company Law

This question assesses the concept of insurable interest in a company.

You're reporting an error for "BL – May 2013 – L1 – SA – Q7 – Company Law"

Our offerings

Contact Info

Customer

Get In Touch

admin