Which of the following statements is correct regarding nonstatistical sampling?
A)Nonstatistical sampling must use random selection techniques.
B)The sample size when using nonstatistical sampling methods is generally not comparable to that determined using statistical sampling methods.
C)Nonstatistical sampling does not use a formal process to mathematically estimate the allowance for sampling risk.
D)When using nonstatistical sampling,the audit team is not required to select a sample that is representative of the population.

Question

Quizplus · Accepted Answer

Nonstatistical sampling does not use a formal process to mathematically estimate the allowance for sampling risk. This is one of the key differences between nonstatistical and statistical sampling. Nonstatistical sampling relies on professional judgment and is generally used in situations where statistical sampling is not practical or cost-effective. The other statements are incorrect. Nonstatistical sampling does not necessarily have to use random selection techniques, the sample size can be comparable to that determined using statistical sampling methods, and the audit team should still try to select a sample that is representative of the population.

Which of the Following Statements Is Correct Regarding Nonstatistical Sampling