A situation in which variable sampling was preferable over PPS sampling would be:
A) where errors of understatement are expected or are being sought.
B) where the population includes zero and negative balances.
C) where many errors are expected.
D) all of the above.

Question

Quizplus · Accepted Answer

Variable sampling is preferable in all the given situations: A) it's effective for detecting understatement errors, B) it can handle zero and negative balances which PPS cannot efficiently manage, and C) it's suitable when a high number of errors are anticipated, as it doesn't rely on item size for sample selection.

A Situation in Which Variable Sampling Was Preferable Over PPS