Which of the following statements is not correct?
A) It is possible to vary the sample size from one unit to 100% of the items in the population.
B) Cost is an adequate justification for not gathering an adequate sample size.
C) The decision of how many items to test must be made by the auditor for each audit procedure.
D) The sample size for any given procedure is likely to vary from audit to audit.

Question

Quizplus · Accepted Answer

Cost is not an adequate justification for not gathering an adequate sample size. While cost may be a factor considered in determining the sample size, the auditor must still gather a sufficient sample size to support their conclusions. The sample size should be determined based on the risk of material misstatement, the desired level of assurance, and the characteristics of the population being tested.

Which of the Following Statements Is Not Correct