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The Purpose of the External Quality Control Review Is to Determine

question 192

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The purpose of the external quality control review is to determine whether the organization's internal quality control system is in place and operating effectively to provide reasonable assurance that established policies and procedures and applicable auditing standards are being followed.


Definitions:

Duration

A measure of the sensitivity of the price of a bond or other debt instrument to changes in interest rates.

Unbiased Estimator

A statistic that accurately estimates the true parameter of a population, meaning its expected value equals the parameter being estimated.

Consistent Estimator

An attribute of an estimator indicating that, as the sample size increases, it converges in probability to the true parameter it estimates.

σ

Denotes the standard deviation in statistics, a measure of the dispersion or variability of a set of values.

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