The auditor is more likely to use audit sampling _______.
A)when internal controls are weak
B)when internal controls are strong
C)when the audit committee requests the auditor do so
D)if the client agrees to pay extra fees associated with this procedure

Question

Quizplus · Accepted Answer

Audit sampling is used more commonly when internal controls are weak, as it provides a way for auditors to obtain reasonable assurance regarding the accuracy of financial statements even when there is a higher risk of misstatement due to weak internal controls. When internal controls are strong, auditors may rely more heavily on testing of controls and substantive testing of transactions and balances, rather than using audit sampling. The audit committee's request or the client's agreement to pay extra fees would not be the primary factors in determining whether audit sampling is used.

The Auditor Is More Likely to Use Audit Sampling _______