When conducting substantive testing,which of the following is not a factor that influences the sample size?
A)an increase in the auditor's assessment of the risk of material misstatement
B)stratification of the population when appropriate
C)an increase in the tolerable rate of deviation
D)an increase in tolerable misstatement

Question

Quizplus · Accepted Answer

An increase in the tolerable rate of deviation actually leads to a decrease in sample size because the auditor is willing to accept a higher level of deviation before concluding that the control is not effective. The other options (A, B, and D) are factors that influence the sample size in substantive testing.

When Conducting Substantive Testing,which of the Following Is Not a Factor