An advantage of statistical sampling over nonstatistical sampling is that statistical sampling helps an auditor to:
A)Eliminate nonsampling risk.
B)Reduce the level of audit risk and overall materiality to a relatively low level.
C)Measure the sufficiency of the evidence gathered.
D)Minimize the failure to detect misstatements and irregularities.

Question

Quizplus · Accepted Answer

Statistical sampling allows auditors to measure the sufficiency of the evidence gathered by providing a basis for determining sample size and selecting items from the population. It does not necessarily eliminate nonsampling risk, reduce audit risk or overall materiality to a low level, or minimize the failure to detect misstatements and irregularities.

An Advantage of Statistical Sampling Over Nonstatistical Sampling Is That