Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

please I really need help with tbis question The following questions concern audit sampling. Choose the best response. a. An advantage of using statistical over

please I really need help with tbis question image text in transcribed
image text in transcribed
The following questions concern audit sampling. Choose the best response. a. An advantage of using statistical over nonstatistical sampling methods in tests of controls is that the statistical methods 1. eliminate the need to apply professional judgment in determining appropriate sample sizes. 2. emphasizes qualitative evaluation of results as opposed to quantitative evaluations. 3. affords greater assurance than a nonstatistical sample of equal size. 4. provides an objective basis for quantitatively evaluating sample risk. b. The diagram below depicts an auditor's computed upper exception rate (CUER) compared with the tolerable exception rate (TER), and also depicts the true population exception rate comp with the TER As a result of tests of controis, the auditor assesses control risk too low and thereby decreases substantive testing. This is ilustrated by which situation? 1. 1 2. 11 3. III 4. IV c, in absessing sampling risk, the risk of underreiance (f.e., the risk of asessing controf risk too high) relates to the 1. efficiency of the avdit. 2. aflectiveness of the audt. 3. audit qualify controls 4. selection of the dems in the sample

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Hong Kong Auditing Economic Theory And Practice

Authors: Simon Fung, Ferdinard A. Gul

3rd Edition

9629372347, 978-9629372347

More Books

Students also viewed these Accounting questions