For monetary-unit sampling, a sampling interval of 400 means that:
A)every 400ᵗʰ item in the account will be selected in the sample.
B)the average size of items in the account is 400.
C)every 400ᵗʰ dollar in the account will be included in the sample.
D)the average misstatement in sample items is $400.

Question

Quizplus · Accepted Answer

In monetary-unit sampling, a sampling interval of 400 means that every 400th dollar in the account balance or population will be included in the sample, not every 400th item. This approach focuses on the value of transactions rather than their physical occurrence.

For Monetary-Unit Sampling, a Sampling Interval of 400 Means That