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Statistical Sampling Is an Example of a Specially Designed Auditing

question 114

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Statistical sampling is an example of a specially designed auditing approach taken by the auditor designed to provide absolute assurance that the financial statements are free of material misstatements.

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Definitions:

Capacitive Reactance

The resistance that a capacitor offers to the flow of alternating current (AC) in an electrical circuit, which varies inversely with the frequency of the current and the capacitance of the capacitor.

Capacitive Reactance

The opposition that capacitors present to the change of voltage in AC circuits, inversely related to the frequency of the current and the capacitance.

Parallel Connection

A way of connecting electrical components in a circuit side by side, so each component is directly connected to the voltage source, and the voltage is the same across all components.

Frequency Source

A device or component that generates a steady and specific frequency of electrical signal.

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