Which of the following describes sampling risk?
A)The sample will not contain characteristics representative of the population such that inferences made about that population will be incorrect.
B)The population will not contain characteristics representative of the sample such that inferences made about that sample will be incorrect.
C)The auditor incorrectly applies sampling methodology.
D)The sample size will be larger than needed.

Question

Quizplus · Accepted Answer

Sampling risk is the risk that the sample selected for audit may not be representative of the population and may lead to incorrect conclusions. Option A correctly describes this type of risk. Option B describes selection bias, while option C describes execution risk, and option D describes non-sampling risk.

Which of the Following Describes Sampling Risk