Non-sampling risk deals with which of the following?
A)Not carrying out the appropriate audit procedure.
B)Drawing an incorrect inference from the sample results.
C)Inappropriately diagnosing client's problems.
D)Both A and C.

Question

Quizplus · Accepted Answer

Non-sampling risk pertains to risks not related to sampling such as failure to perform appropriate audit procedures or incorrectly identifying client issues. Therefore, option D is the correct choice as it includes both not carrying out appropriate audit procedures (option A) and inappropriately diagnosing client problems (option C). Drawing an incorrect inference from the sample results (option B) is related to sampling risk.

Non-Sampling Risk Deals with Which of the Following