During a concealment investigation, an investigator fails to recognize that an invoice had been forged. This represents a:
A) sampling risk.
B) nonsampling risk.
C) systematic risk.
D) systemic risk.

Question

Quizplus · Accepted Answer

The investigator's failure to recognize the forged invoice is a failure in their assessment of the evidence and judgment, which is a type of nonsampling risk. Sampling risk refers to the potential for error in a sample of data, whereas systematic risk is related to factors inherent in the system or process being investigated. Systemic risk typically refers to risks that affect an entire system or market.

During a Concealment Investigation, an Investigator Fails to Recognize That