When an Accounting Auditor Randomly Selects 20 Accounts from All

question 149

Multiple Choice

When an accounting auditor randomly selects 20 accounts from all the accounts to check for accuracy, she has selected:

• A) a personal observation.
• B) a sample from the population.
• C) a census.
• D) a convenience sample.

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Definitions:

Sale of Goods Act

Legislation governing the sale of goods, providing rights to buyers and obligations to sellers, focusing on elements like product conformity and transactional fairness.

Fundamental Breach

A breach of a fundamental aspect of the contract that is not covered by an exclusion clause; a breach that goes to the very root of the contract.

Risk of Loss

A term referring to the responsibility for damage or destruction of goods, typically discussed in contracts or insurance contexts to determine who bears the financial burden when property is damaged.

Sale-of-Goods Contract

A legal agreement where a seller transfers or agrees to transfer ownership of goods to a buyer for a price.