Auditing
*What are some of the different types of sampling methods that are available to the auditor?* How does the auditor decide which method to use? How will the different methods affect the audit? The types of auditing samples are broken down into two different categories: statistical and non-statistical sampling. The purpose of auditing samples are designed to give the auditor the results he or she seeks, without having to completely audit 100% of the items within the audit population. Here are some of the different types of auditing samples broken out into the two categories: Statistical Sampling Methods: Random Sampling – Is an auditing method that basically means that all sampling units in the auditing population will have an equal chance of being selected for evaluation, or that no bias would have played a role in what was selected. It is also important the samples that have been selected are not able to
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How will this affect the sample size? How will incorrectly defining the population affect the sampling unit? The auditing population is the whole set of data for auditors to test in order to reach their final auditing conclusion. Auditors need to determine a population in which to examine samples from for specific auditing objectives he or she wishes to complete. For example, if an auditors' goal was to test for overstatements of debtors, the auditing population could entail listing of debtors. However, if the auditor was to testing for overstatements of creditors, then the population would not be only be a listing of creditors, but, also require the auditor to look for subsequent disbursements, unpaid invoices, suppliers' statements, unmatched receiving reports, or other auditable populations that would provide evidence of potential understatements to
How will this affect the sample size? How will incorrectly defining the population affect the sampling unit? The auditing population is the whole set of data for auditors to test in order to reach their final auditing conclusion. Auditors need to determine a population in which to examine samples from for specific auditing objectives he or she wishes to complete. For example, if an auditors' goal was to test for overstatements of debtors, the auditing population could entail listing of debtors. However, if the auditor was to testing for overstatements of creditors, then the population would not be only be a listing of creditors, but, also require the auditor to look for subsequent disbursements, unpaid invoices, suppliers' statements, unmatched receiving reports, or other auditable populations that would provide evidence of potential understatements to