Below are statements or examples related to audit sampling applications. Indicate, using the correct letter, which concept
Question:
A. Statistical sampling
B. Non-statistical sampling
C. Sampling risk
D. Non-sampling risk.
1). John CPA, selected all invoices over $1,000 and all invoices recorded on the 15th of each month for her sample.
2). Christine, CPA, selected a sample and evaluated the results of his sample using the laws of probability.
3). David CPA, checked to see if any signature was in the credit approval box on a sample of sales orders rather than looking for only authorized signatures.
4). Based on a statistical sample, Benjamin, CPA, concluded the client's control was functioning effectively when the deviation rate in the population was actually unacceptable.
5). When a client could not produce an invoice for a sample selected by the auditor, the auditor accepted the client's assurance that the invoice contained the appropriate approval.
Auditing and Assurance Services
ISBN: 978-0077862343
6th edition
Authors: Timothy Louwers, Robert Ramsay, David Sinason, Jerry Straws