Nonsampling risk can occur in which of the following types of sampling plans:
A)Statistical sampling: Yes; Nonstatistical sampling: Yes
B)Statistical sampling: Yes; Nonstatistical sampling: No
C)Statistical sampling: No; Nonstatistical sampling: Yes
D)Statistical sampling: No; Nonstatistical sampling: No

Question

Quizplus · Accepted Answer

Nonsampling risk can occur in both statistical and nonstatistical sampling plans. In statistical sampling, nonsampling risk can occur if the sample is not representative of the population, or if the auditor makes errors in selecting or testing the sample. In nonstatistical sampling, nonsampling risk can occur due to errors in judgment or bias in selecting the sample. Therefore, both statistical and nonstatistical sampling plans can be affected by nonsampling risk.

Nonsampling Risk Can Occur in Which of the Following Types