For the sample sizes calculated in Problem 7-11 above, assume that application of the planned audit test to the items selected produced the following results:

Required:

a. What is the maximum deviation rate for situations 1 to 6 at the specified risk of assessing control risk too low in Problem 7-11?

b. For which situations does the maximum deviation rate not exceed the tolerable rate? c Was it necessary to answer a to be able to answer b above?

Data from Problem 7-11

The questions below relate to estimating the sample size necessary for tests of transaction classes given the specified decisions for the considerations that affect sample size.

Transcribed Image Text:

01123T Situation Number of deviations found 3 123456 6