Dylan Anderson is auditing revenue for Bloom Homes, a home builder in Texas. Bloom Homes usually has between 450 and 600 home construction projects going at any point in time, for between 300 and 500 customers. Bloom Homes recognizes revenue on a percentage-of-completion basis. Dylan has to determine the appropriateness of revenue recognition for Bloom Homes. Dylan has previously tested controls and assessed control risk as moderate.

Required

1. What population(s) would be relevant to Dylans substantive procedures for revenue recognition?
2. Explain the potential implications of sampling risk for the audit of revenue recognition.
3. What possible nonsampling risks exist in this case?