Auditing True or False:

1. Audit sampling is the performance of a procedure on less than 100% of the items in the

population to arrive at a conclusion about the population.

2. Non-statistical sampling should never be used.

3. When using probability-proportional-to-size sampling, each item in the population is given a probability of selection in proportion to its recorded amount.

4. In a computerized environment, there may be less documentation of transactions that have

occurred.

5. When utilizing an EDI system, source documents, such as invoices and purchase orders,

are replaced with electronic transactions.

6. A catalog sales firm utilizes a system in which, as sales orders are entered into their

computer, both inventory and credit are immediately checked. This is an example of EDI.