Answer Statements 1. Inherent in the use of sampling is risk which is the possibility of selecting a sample that is not representative of the population. 2. When the auditors estimate sampling risk using professional judgment rather than by using the laws of probability, they are said to be using sampling. 3. When using an item from the population may be selected two or more times for inclusion in the sample. 4. The term refers to the process of dividing a population into relatively homogeneous subgroups. In performing tests of controls, the auditors are primarily concerned with the critical aspect of sampling risk 5. known as the To use attributes sampling tables, the auditors must stipulate the desired risk of assessing control risk too low, 6. the expected deviation rate in the population, and the desired 7. Adding and subtracting the to and from the projected misstatement creates an interval within which the true value of the population is likely to lie. If the variability of a population increases, as measured by the standard deviation, the required sample size for 8. the population will 9. Tests of controls typically use plans. 10. Variables sampling plans are typically used for Detection risk may be separated into two risks, one relating to and the other is the allowable risk of 11. tests of details