Which of the Following Set of Conditions Would Provide the Auditor

question 115

Multiple Choice

Which of the following set of conditions would provide the auditor the smallest sample size under monetary unit sampling (MUS) (RIA = risk of incorrect acceptance,TM = tolerable misstatement,PS = population size) ?

• A) RIA = 5%, TM = $15,000, PS = $200,000.
• B) RIA = 5%, TM = $10,000, PS = $200,000.
• C) RIA = 5%, TM = $10,000, PS = $100,000.
• D) RIA = 5%, TM = $15,000, PS = $300,000.

---

Definitions:

John Rawls

A philosopher known for his work in political philosophy and his theory of justice as fairness, outlining principles of justice to structure society.

Justice Principles

Fundamental ideas about fairness that guide how benefits and burdens are distributed among members of a society.

Normative Approaches

Refers to theories that recommend what ought to be done based on a set of moral principles or criteria.

Organizational Decision Makers

Individuals or groups within an organization who have the authority to make choices that affect the company's direction and policies.