Examlex
When using nonstatistical sampling, the auditor must subjectively consider whether the true population misstatement exceeds a tolerable amount. This is done by considering five factors. One factor is the difference between the point estimate and tolerable misstatement. State the other four factors the auditor must consider.
Judgment Sampling
A nonprobability method of sampling whereby elements are selected for the sample based on the judgment of the person doing the study.
Cluster Sampling
A probability sampling method in which the population is first divided into clusters and then a simple random sample of the clusters is taken.
Simple Random Sampling
A sampling method where each member of the population has an equal chance of being selected, ensuring unbiased representation.
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