Statistical sampling enables the examiner to predict the occurrence rate for the population and therefore determine with some accuracy the error rate, or the potential for fraud.

Question

Quizplus · Accepted Answer

Statistical sampling is a tool used by examiners to estimate error and fraud rates within a population with a certain level of confidence. By selecting a representative sample and analyzing the data, the examiner can make predictions about the occurrence rate of errors or fraud within the population.

Statistical Sampling Enables the Examiner to Predict the Occurrence Rate