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CHAPTER 9 Audit Sampling

CHAPTER 09 - Audit Sampling CHAPTER 9. Audit Sampling Review Questions 9 1 Nonstatistical Sampling is an Audit Sampling technique in which the risk of Sampling error is estimated by the auditors using professional judgment rather than by the laws of probability. Statistical Sampling involves the quantification of the risk of Sampling error through the use of mathematics and laws of probability. 9 2 Sampling risk is the possibility that the auditors will make an erroneous decision based on a sample result. To control Sampling risk the auditors increase the size of their samples. Nonsampling risk is the risk of erroneous conclusions by the auditors based on any factor other then Sampling . For example, the auditors may perform inappropriate tests, or they may not recognize errors in the sample items examined.

However, when using systematic sampling on a population that is not in random order, it may be necessary to stratify the population into segments or to use a relatively large number of starting points to produce a random sample.

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