Question: What is tolerable rate of deviation?

What is tolerable rate of deviation?

Step by Step Solution

★★★★★

3.23 Rating (147 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock

The tolerable rate of deviation is a term used in the context of audit sampling specifically in the evaluation of controls as part of an audit procedu... View full answer

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related Auditing 12th Questions!

You overheard the following dialogue between Joe Ashley (a staff assistant) and Monique Estrada (his supervisor). Required: Referring to appropriate professional standards, comment on each of these...

Your audit team has established the following parameters for the examination of ELM's control over the authorization of sales: Population size .................. 388 shipments Risk of overreliance...

Q NA G + CLO E-2 E.72 Comprehensive Attributes Sampling. Audra Dodge, CPA. is performing an attributes sampling plan for her audit of Truck Company. In her audit of cash disbursements, she has...

! Required information Elm Manufacturing Company (ELM) is a small manufacturer of backpacks located in Rochelle, Illinois. You are testing controls related to the authorization of sales made to...

Subject: AUDIT AND ASSURANCE Answer all the MCQ's. Choose the correct option for each question 17. In a probability-proportional-to-size(PPS) sample with a sampling interval of $10,000, an auditor...

Subject: AUDIT AND ASSURANCE. Answer all the MCQ's. Choose the correct option for each question. 13. Which of the following is an effective control that encourages receiving department personnel to...

1 . An auditor intends to rely on a control to prevent and detect a material misstatement. How will this impact the tolerable error rate and sample size? a . there is no impact on sample size or...

what are the answers to these? In attribute sampling, what is the impact on sample size if the tolerable deviation rate increases? In attribute sampling, what is the impact on sample size as actual...

Choose from the following word bank: Increases Decreases No impact Cannot be determined Actual Deviation Rate Tolerable Rate of Deviation Upper Limit Rate of Deviation Words can be used multiple...

You have been asked to estimate the value of the subject property that has a gross rental income of $130,000 and an NOI of $58,000. A summary of transaction data on three comparable markets is in the...

Given the following matrix A, find an invertible matrix U so that UA is equal to the reduced row-echelon form of A: You can resize a matrix (when appropriate) by clicking and dragging the...

In the context of an audit of financial statements, substantive tests are audit procedures that Question content area bottom Part 1 A . are designed to test for dollar misstatements. B . are designed...

What could Roy do to ensure that Marinas work will be covered during her absence and that taking this time off will not hurt her advancement?

Generally accepted auditing standards have been criticized by different sources for failing to provide useful guidelines for conducting an audit. The critics believe the standards should be more...

Describe the role of International Standards on Auditing. What is the relationship between International Standards on Auditing and U.S. Generally Accepted Auditing Standards?

COURSE( Enterprise Systems ) Q- Describe the Integrated Enterprise Information Systems. Also, cite any two attempts of Integration. please don't copy and paste please no handwriting thanks

Which of the following should be done during the closing of a project? a) Knowledge management b) Write transition plan c) Both A and B d) None of the above

The Unsorted List ADT (for UnsortedStringList) is to be extended with an operation, largest, which returns a copy of the largest list element. It is assumed that the operation will not be invoked if...