Auditing Errors

Auditors must make judgment about various aspects of an audit on the basis of their own direct experiences, indirect experiences, or a combination of the two. In a study, auditors were asking to make judgments about the frequency of errors to be found in an audit. The judgments by the auditors were then compared to the actual results. Suppose the following data were obtained from a similr study; lower score indicate better judgments.

Direct Indirect Combination

17.0 16.6 25.2

18.522.2 24.0

15.820.5 21.5

18.2 18.3 26.8

20.224.2 27.5

16.0 19.8 25.8

13.321.2 24.2

Use a = .05 to test to see whether the basis for the judgment affects the quality of the judgment.

- provide a table of summary statistics with preliminary observations

- state the null and alternative to be tested

- Include the complete ANOVA table (no need to copy the summary statistics again only the ANOVA table)

-What is theconclusion and interpretation.

- If necessary, perform a Fisher's LSD.Include the appropriate hypotheses, test statistics, critical values and conclusions for each test.State your interpretation for the complete LSD analysis as a whole, NOT for each individual test.