CA Intermediate · May 2026 · Paper 5
CA Intermediate Auditing and Ethics May 2026: paper analysis
Our own analysis of the official paper, as of 12 October 2026. The questions and answers belong to ICAI; read them on ICAI's website.
Chapter-wise marks
Where the marks were in this paper (out of 100; internal-choice alternatives not double counted).
What each question tested
In our words, by question number. Open the official paper for the full question.
| Q | Marks | Tests | Chapter |
|---|---|---|---|
| 1(a) | 5 | Professional skepticism toward unusual period-end transactions, risks it reduces, and principles-based versus rules-based ethics | Ethics and Terms of Audit Engagements |
| 1(b) | 5 | Identifying systematic and block selection sampling methods and managing the risks of systematic selection | Audit Evidence |
| 1(c) | 4 | Date and period covered by written representations when management changes during the year | Completion and Review |
| 2(a) | 5 | Aspects of the information system and business processes the auditor must understand during risk assessment | Risk Assessment and Internal Control |
| 2(b) | 5 | Disadvantages of an audit programme and ways to overcome them | Audit Strategy, Audit Planning and Audit Programme |
| 2(c) | 4 | CARO reporting on immovable property title and Schedule III disclosure of promoter shareholding | Audit Report |
| 3(a) | 5 | Factors driving sample size for tests of controls and effect of expected deviation rate | Audit Evidence |
| 3(b) | 5 | Placement and required elements of the Basis for Opinion section in the auditor's report | Audit Report |
| 3(c) | 4 | Professional judgement as a driver of documentation and examples of significant matters | Audit Documentation |
| 4(a) | 5 | Approaches to testing in an automated environment and the most effective combinations of tests | Risk Assessment and Internal Control |
| 4(b) | 5 | Schedule III disclosures on dues to micro and small enterprises the auditor should verify | Audit of Items of Financial Statements |
| 4(c) | 4 | Why auditors need working knowledge of statistics, finance, data processing and behavioural science | Nature, Objective and Scope of Audit |
| 5(a) | 5 | Identifying sweat equity and conditions the auditor checks for its valid issue | Audit of Items of Financial Statements |
| 5(b) | 5 | Classifying leases as finance or operating and the related accounting and tax treatment | Audit of Items of Financial Statements |
| 5(c) | 4 | Independence matters to be communicated to those charged with governance for listed entities | Completion and Review |
| 6(a) | 5 | Auditor responsibilities typically stated in an audit engagement letter | Ethics and Terms of Audit Engagements |
| 6(b) | 5 | Other Matter paragraph when referring to a predecessor auditor's report on corresponding figures | Audit Report |
| 6(c) | 4 | Subsidiary books and registers expected in a large co-operative society | Special Features of Audit of Different Type of Entities |
| 6(c) OR | 4 | Factors significant in directing engagement team efforts when setting the overall audit strategy | Audit Strategy, Audit Planning and Audit Programme |
What stood out
- Audit of Banks was tested only through three MCQs, while Audit of Items of Financial Statements carried the most descriptive marks.
- Sampling showed up in both parts: selection methods, projecting misstatements and sample size for tests of controls.
- Most descriptive questions were scenario-based, so knowing which SA applies mattered more than reproducing lists.
- Reporting questions spanned SA 700 elements, SA 710 corresponding figures and CARO, making Audit Report a reliable scorer.
- Planning and quality control topics (audit programme, SA 300, monitoring) together carried four MCQs plus two written items.
Practise the chapters that carried the marks
Audit of Items of Financial Statements, Audit Evidence, Audit Report: study guides and practice questions in the CA Intermediate format.