In which of the following circumstances would the auditor most likely use variables sampling?
A)Identifying the susceptibility of the account balance to misstatement.
B)Evaluating the operating effectiveness of specific control procedures.
C)Evaluating the operating design of specific control procedures.
D)Determining whether the client's accounts receivable balance is correctly recorded.

Question

Quizplus · Accepted Answer

Variables sampling is typically used to estimate the dollar amount of misstatement in an account balance or class of transactions. Therefore, determining whether the client's accounts receivable balance is correctly recorded represents a circumstance in which an auditor would most likely use variables sampling. The other answer choices would be better suited for either attributes sampling or substantive testing.

In Which of the Following Circumstances Would the Auditor Most