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.

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Definitions:

Counterclaim

A claim made by a defendant in opposition to, or as a retaliation against, the plaintiff's claim in a lawsuit.

Costs(Awarded)

Expenses that a court orders one party to pay another, often as part of the judgment in a legal case.

Court Action

Legal proceedings initiated to enforce or protect a right, or to seek a remedy in a dispute.

Limitation Period

A legally defined time within which legal action must be initiated for a claim or right to be valid.