When an auditor uses MUS and analyzes misstatements in the lower stratum,which of the following will be multiplied by the sampling interval to calculate the projected misstatement for each misstated item?
A)Audit value.
B)Tolerable misstatement.
C)Sampling interval.
D)Tainting percentage.

Question

Quizplus · Accepted Answer

The tainting percentage is used in Monetary Unit Sampling (MUS) to calculate the projected misstatement for each misstated item in the lower stratum. It is calculated by dividing the difference between the audited (correct) value and the book value by the book value of the sampled item, then multiplied by the sampling interval to project the misstatement.

When an Auditor Uses MUS and Analyzes Misstatements in the Lower