Branch audit under Section 143(8) - the company's auditor of the head office may audit branches OR:
ABranches need no audit
BA statutory auditor cannot delegate branch audit
CA person qualified under Section 139 may be appointed as branch auditor
DBranches must always be audited separately
Answer & Solution
Correct answer: D. Branches must always be audited separately
1. Section 143(8): branches may be audited by the company's auditor or another person qualified u/s 139.
2. The principal auditor incorporates the branch auditor's report into the main audit.
3. Foreign branches may be audited by an accountant duly qualified to act as auditor in that country.
_Source: ICAI BoS CA Final Paper 3, Ch 5 "Company Audit"_
Related questions
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