The auditor must deal with layers of the computed upper deviation rate from the attributes table because there are different error assumptions for each error.Assume a sample of 100 had found one error, and the computed upper deviation rate is shown in the following table:
The precision limit for the layer with one error is:
A)2)3%.
B)3)8%
C)6)1%.
D)1)5%.

Question

The auditor must deal with layers of the computed upper deviation rate from the attributes table because there are different error assumptions for each error.Assume a sample of 100 had found one error, and the computed upper deviation rate is shown in the following table: 
The precision limit for the layer with one error is:
A)2)3%. 
B)3)8% 
C)6)1%. 
D)1)5%.

Quizplus · Accepted Answer

According to the table given, the computed upper deviation rate for a sample of 100 with one error is 5.1%. The precision limit for this layer would be 1.5% as per the calculation: precision limit = CUVR + (z-score * √(CUVR*(1-CUVR) / sample size)). Plugging in the values, we get precision limit = 5.1 + (1.65 * √((5.1/100)*(1-(5.1/100))/100)) = 6.1%. Therefore, the best choice is D (1.5%).

The Auditor Must Deal with Layers of the Computed Upper