Audit sampling is one application of audit procedure. ISA 530 explains audit sampling as the application of audit procedures to less than 100% of items within a population of audit relevance such that all sampling units have a chance of selection in order to provide the auditor with a reasonable basis on which to draw conclusions about the entire population. Generally, samples are selected through a statistical or non-statistical approach.

 

Required:

1) Discuss the need for an auditor to conduct audit sampling.

2) Define the meaning of statistical sampling.

3) Describe TWO (2) types of statistical sampling