When making the sampling decisions for accounts receivable confirmations,
A) it is important to sample some items for every material segment of the population.
B) if management refuses to allow the auditor to send confirmation requests to certain customers, the auditor must withdraw from the engagement.
C) inherent risk does not impact the sample size.
D) stratification of the sample is discouraged under current auditing standards.

Question

Quizplus · Accepted Answer

Sampling should ensure that every material segment of the population is represented. This helps to ensure that the sample is representative of the population as a whole.

When Making the Sampling Decisions for Accounts Receivable Confirmations