An Audit Team Designed a Sample That Would Provide a 10

question 8

Multiple Choice

An audit team designed a sample that would provide a 10 percent risk of overreliance that not more than 7 percent of sales invoices lacked credit approval.From previous audits,the audit team expected that 3 percent of the sample invoices lacked proper approval.From the sample of 90 invoices,7 were found to lack credit approval.Using AICPA sample evaluation tables,the upper limit rate of deviation was

• A) 3.3%.
• B) 4.5%.
• C) 7.8%.
• D) 12.8%.

---

Definitions:

Parent Class

A class from which other classes inherit properties and methods.

Inheritance

A feature of object-oriented programming where a new class is created from an existing class, inheriting fields and methods of the existing class while allowing new elements to be added or existing ones to be modified.

Derived Class

A class in object-oriented programming that inherits attributes and behaviors from another class known as the base class.

Inheritance

A feature of object-oriented programming that allows a new class to extend an existing class, inheriting its attributes and behaviors.