State with reasons (in short) whether the following statements are true or false (i) Auditor’s lien on his client’s books and record is not unconditional. (ii) An adverse report is one where an auditor gives an opinion subject to certain reservation. (iii) Cut-off procedures are generally applied to trading transactions. (iv) Components of Audit Risk does not includes sampling risk. (v) As per As-13, Investment should be classified into Current investments and Marketable investments. (vi) CARO, 2004 does not applies to a Foreign company. (vii) Test checks refers to the out of routine checks that are carried out in the normal course of audit. (viii) If the auditor believes that the concern will not continue as going concern, he should issue disclaimer of opinion. (ix) An unexplained decrease in the Gross profit ratio may result due to fictitious sales. (x) If the auditor appointed at the AGM refuses to accept the same, the Company can appoint another person by holding General Meeting. (xi) An auditor is considered to lack independence, if the partner of the audit firm owns the building in which the client’s business is situated. (xii) As per AAS-2, one of the objectives of the audit is to detect fraud.