CA H, with an experience of 3 years in practice, has recently joined as a partner with JP & Associates, Chartered Accountants. He is making…

CA Final · Advanced Auditing, Assurance and Professional Ethics · PYQS · January 2026
CA H, with an experience of 3 years in practice, has recently joined as a partner with JP & Associates, Chartered Accountants. He is making efforts to increase his professional income by taking up various assignments. Some of the areas where he has engaged himself are as under: (i) He is a part time faculty for the Live Virtual Classes run under the aegis of the Institute for CA Students. (ii) He is also a lecturer of Management Accounting in one Private University in his locality. (iii) He is providing tutorship to Class XII Commerce students of Good Edu Public School run by G H Educational Society. (iv) He is providing consultation for recovery of loans and advances portfolio of MM Bank Limited. The senior partner of his firm is of the view that all these assignments which CA H has taken up require specific and prior approval of the Council and that CA H will be deemed to be guilty of professional misconduct as he has not taken such approval. Based on the above, which amongst the four activities require specific and prior approval of the Council?
(A) (i) & (ii)
(B) (ii) & (iii)
(C) (iii) & (iv)
(D) (ii) & (iv)

Suggested Answer and Working Notes:

Correct Answer: Option (B)

(ii) & (iii)

Topics: Professional Ethics & Liabilities of Auditors, Special Features of Audit of Banks & Non-Banking Financial Companies

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