In Attributes Sampling If the Selected Item Cannot Be Located,the

question 38

True/False

In attributes sampling if the selected item cannot be located,the auditor should assume that the control procedure was not followed and assess that item as a failure.

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Definitions:

Marginal Revenue

The increased earnings from the sale of one more unit of a product or service.

Purely Competitive

A market structure characterized by a large number of small firms producing identical products with free entry into and exit out of the market.

Entry And Exit

The ease with which new competitors can enter into an industry and existing ones can leave, influencing the competitive dynamics and profitability of a market.

Economic Profits

Economic profits refer to the excess returns a firm makes above its opportunity costs, factoring in both explicit and implicit costs.