In which of the following types of sampling applications is the auditor exposed to sampling risk?
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

Both statistical and nonstatistical sampling methods involve the possibility of sampling risk. Statistical sampling involves the use of mathematical techniques to measure and control sampling risk, while nonstatistical sampling relies on the auditor's judgment and experience to assess sampling risk. Therefore, both methods involve some level of uncertainty, and the auditor must be aware of and manage sampling risk in both cases.

In Which of the Following Types of Sampling Applications Is