Sampling Risk (Sampling Error)is an Inherent Part of Sampling Which

question 35

Multiple Choice

Sampling risk (sampling error) is an inherent part of sampling which results from:

• A) testing less than the entire population.
• B) weaknesses in client's internal control system.
• C) inappropriate audit procedures.
• D) failure to recognise exceptions.

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Definitions:

Monthly Interest Rate

The percentage of interest that is charged or earned on a principal amount on a monthly basis.

Credit

An arrangement where goods, services, or money is received in exchange for a promise to pay back a definite sum of money at a future date.

Annual Percentage Rate

A measure of the cost of borrowing, including interest and other fees, represented as a yearly rate and providing a comprehensive view of the loan cost.

Terms Of Sale

The conditions agreed upon by the buyer and seller covering payment, delivery, and the transfer of ownership of goods or services.