Explain the difference between non-statistical (judgmental) sampling and statistical sampling.
Explanation of Solution
Audit sampling:
Auditing sampling is a process of selecting and evaluating a part of the population that represent the whole population. The auditor has the whole information of the client. The information is very large to assess and test. So the auditor only evaluates a part (Sample) from the whole information (population) for the audit purpose.
Explain the difference between non-statistical (judgmental) sampling and statistical sampling:
Statistical sampling uses the statistical technique to evaluate the audit samples. Statistical techniques include discovery sampling, attributes sampling, classical variables sampling and monetary unit sampling (MUS).
Non-statistical sampling usesjudgments rather than statistical technique. It includes the professional judgments on the given situation.
The difference between statistical sampling and non-statistical sampling is the testing used in the calculation of the
Thus, the statistical sampling and non-statistical sampling are different in their testing and calculation of the sample size.
Want to see more full solutions like this?
Chapter 9 Solutions
Principles Of Auditing & Other Assurance Services
- Which of the following statistical techniques are used to test controls? Mean-per-unit sampling. Attribute sampling. Difference estimation. Ratio estimation.arrow_forwardWhat is the relationship between sample size and (a) sampling risk, (b) tolerable rate of deviation,and (c) expected population deviation ratearrow_forwardHow does Sampling Risk compare to Non-Sampling Risk?arrow_forward
- Which of the following pairs of selection methods could appropriately be used in statistical sampling applications?a. Unrestricted random selection, block selection.b. Block selection, haphazard selection.c. Systematic random selection, haphazard selection.d. Unrestricted random selection, systematic random selection.arrow_forwardProbability samples versus nonprobability samples; also briefly define the types of valid probability samples.arrow_forward
- Auditing: A Risk Based-Approach (MindTap Course L...AccountingISBN:9781337619455Author:Karla M Johnstone, Audrey A. Gramling, Larry E. RittenbergPublisher:Cengage Learning