QCE Accounting

2026 exam predictions

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Sample original practice question

Try a QCE Accounting question

Which statement best describes the role of an auditor?

  • Records the business's daily transactions in the general journal
  • Independently examines an entity's financial reports and gives an opinion on whether they present a true and fair view
  • Sets the rate of tax that applies to a sole trader's profit
  • Prepares the owner's personal household budget
Show the worked answer

Answer: B

An auditor is independent of the entity and checks the records and reports, then gives an opinion. Recording transactions and preparing reports is the work of a bookkeeper or accountant; tax rates are set by government.

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