Which of the Following Statements Is Correct About the Sample

question 7

Multiple Choice

Which of the following statements is correct about the sample size in statistical sampling when testing internal controls?

• A)The auditor should consider the tolerable rate of deviation from the controls being tested in determining sample size.
• B)As the likely rate of deviation decreases,the auditor should increase the planned sample size.
• C)The allowable risk of assessing control risk too low has no effect on the planned sample size.
• D)Of all the factors to be considered,the population size has the greatest effect on the sample size.

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Definitions:

Employee Turnover

The rate at which employees leave a workforce and are replaced by new employees.

High-quality Relationships

Relationships characterized by mutual respect, trust, understanding, and beneficial interactions that contribute positively to the well-being of the parties involved.

Out-group

Members of a group who do not feel included or identified with the core group, often receiving less of the leader’s attention and resources.

In-group Members

Individuals who are considered part of a specific group or category, often receiving preferential treatment or access to resources within that group.