Which of the following is most correct when using audit sampling for exception rates?
A)Auditor is concerned with the lowest rate.
B)Auditor is concerned with the highest rate.
C)Auditor is concerned with the average on previous audits.
D)This doesn't impact the auditor's decision.

Question

Quizplus · Accepted Answer

When using audit sampling for exception rates, the auditor is concerned with the highest possible exception rate. This rate will indicate the highest level of risk and will need to be addressed and investigated further. The lowest rate may not be as significant and may not require as much attention. The average from previous audits may provide some context, but it should not be the sole determining factor in the current audit.

Which of the Following Is Most Correct When Using Audit