Question

Which of the following statement is wrong with reference to the Co-operative Societies Act, 1912?

• A. Unless otherwise directed by the state government, the liability of a society of which a member is a registered society shall be limited.
• B. At least one-fourth of the net profits in any year have been carried to a reserve fund.
• C. A registered society shall have a charge upon the share or interest of a member for any debt due from such member to the society.
• D. Audit of accounts of registered society can be done either by the Registrar of Societies or by a Registered Accountant

Answer 1

Answer:

D. Audit of accounts of registered society can be done either by the Registrar of Societies or by a Registered Accountant

Yes, the accounts of a registered society can be audited by either the Registrar of Societies or a Registered Accountant:

• Registrar of Societies: The Registrar can audit the accounts of a registered society, or order someone else to do so. The Registrar can also allow the society to have their accounts audited by someone else they approve of.

• Registered Accountant: A Registered Accountant can audit the accounts of a society. 

Auditing is the process of verifying the accuracy of financial records and statements. It can help determine an organization's financial position and profit and loss for a given period.