Which of the Following Statements Is Correct Concerning Statistical Sampling

question 41

Multiple Choice

Which of the following statements is correct concerning statistical sampling in tests of controls?

• A)As the population size increases, the sample size should increase proportionately.
• B)Deviations from specific internal control procedures at a given rate ordinarily result in misstatements at a lower rate.
• C)There is an inverse relationship between the expected population deviation rate and the sample size.
• D)In determining tolerable deviation rate, an auditor considers detection risk and the sample size.

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Definitions:

Identical Twins

Twins who develop from a single fertilized egg that splits in two, creating two genetically identical organisms.

Fraternal Twins

Twins who develop from separate fertilized eggs. They are genetically no closer than brothers and sisters, but they share a fetal environment.

Neuroticism

A personality trait characterized by moodiness, anxiety, and emotional instability.

Extraversion

A personality trait that is characterized by outgoingness, high energy, and sociability.