An organization has implemented two different procedures for authorizing purchases, depending on whether the purchase amount is greater than a certain limit. Which sampling method is most useful in testing compliance with both procedures?

a. Stratified attribute sampling

b. Discovery sampling

c. Stop-or-go sampling

d. Probability-proportional-to-size sampling

Which of the following best demonstrates why it is important for the chief audit executive (CAE) to assess residual risk?

a. The CAE may be asked to report on negative improvements based on the execution of corrective actions

b. The CAE may be asked to report whether the corrective action has been completed

c. The CAE may be asked to report whether the action taken has corrected the underlying issue

d. The CAE may be asked to resolve the residual risk that is not acceptable for the organization