How Does Monetary Unit Sampling (MUS)ensure That Larger Dollar Components

question 88

Multiple Choice

How does monetary unit sampling (MUS) ensure that larger dollar components are selected for examination?

• A)MUS requires the auditor to identify all items having a balance greater than performance materiality prior to beginning the sample selection process.
• B)MUS requires the auditor to stratify the sample into larger and smaller dollar components prior to beginning the sample selection process.
• C)MUS defines the sampling unit as an individual dollar within an account balance or class of transactions.
• D)MUS selects components having larger balances in the prior audit.

---

Definitions:

Total Institutions

Places where people are separated from the rest of society and have their lives controlled and regulated by the administrative staff, such as prisons, hospitals, or military barracks.

Resocialization

The process by which individuals learn new norms, values, attitudes, and behaviors, replacing those from their previous roles or environments.

Preindustrial Societies

Societies characterized by an economy based on agriculture and small-scale manufacturing, with limited technological development.

Generalized Other

A concept in sociology referring to the common behavioral expectations and attitudes adopted by individuals in society as a basis for understanding the perspectives of others.