In Statistical or Nonstatistical Sampling Methods Used in Substantive Testing,an

question 39

Multiple Choice

In statistical or nonstatistical sampling methods used in substantive testing,an auditor most likely would stratify a population into meaningful groups if

• A) monetary-unit sampling (MUS) is used.
• B) the population contains both very high and very low recorded amounts.
• C) the auditor's estimated tolerable misstatement is extremely small.
• D) the standard deviation of recorded amounts is relatively small.

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Definitions:

Vertical Transfer

The process of applying knowledge or skills acquired in one context to different or higher-level tasks and situations.

Performance Deterioration

A decline or reduction in the efficiency, quality, or effectiveness of an individual's or group's work performance over time.

Motivation To Transfer

The level of an individual's intention or desire to apply the skills and knowledge gained from training back to their job or daily activities.

Cognitive Ability

The capacity to perform higher mental processes of reasoning, remembering, understanding, problem-solving, and decision-making.