When the Auditor Goes Through a Population and Selects Items

question 64

Multiple Choice

When the auditor goes through a population and selects items for the sample without regard to their size,source,or other distinguishing characteristics,it is called

• A)block selection.
• B)haphazard selection.
• C)systematic selection.
• D)statistical selection.

---

Definitions:

AVC

Average Variable Cost, the total variable costs divided by the quantity of output produced, representing the variable cost per unit of output.

ATC

Average Total Cost, the total cost of production divided by the quantity of output produced.

Economic Profits

The surplus that remains after all operational costs, including opportunity costs, are subtracted from total revenues.

Economic Profits

Economic Profits represent the surplus after subtracting both the explicit and implicit costs from total revenue, depicting a firm's advantage beyond the normal returns.