The auditors expect a population deviation rate of billing errors of eight percent,and have established a tolerable rate of five percent.The sampling approach most likely to be used is:
A)Attributes sampling.
B)Stratified random sampling.
C)Variables sampling.
D)None,as sampling does not seem appropriate in this situation.

Question

Quizplus · Accepted Answer

Sampling is not appropriate because the expected deviation rate (8%) exceeds the tolerable rate (5%), indicating that the process is not acceptable and should be reviewed in full rather than sampled.

The Auditors Expect a Population Deviation Rate of Billing Errors