Use the sample sizes and the number of deviations determined below. Control Procedure 5% 5% 2% Parameters Risk of incorrect acceptance Tolerable deviation rate Expected population deviation rate Sample size (using tables) Sample size (using IDEA) % 1% 156 156 181 181 10 % 7% 3% 94 94 4 10 % 8% 4% 98 98 Determine the sample deviation rate, the computed upper deviation rate, and the auditor's conclusion (i.e., testing results do or do not support operating effectiveness of the control) for each control procedure. (For Results, use Table 8-8 & Table 8-9 or IDEA) (Round your rates values to 1 decimal place.)
Use the sample sizes and the number of deviations determined below. Control Procedure 5% 5% 2% Parameters Risk of incorrect acceptance Tolerable deviation rate Expected population deviation rate Sample size (using tables) Sample size (using IDEA) % 1% 156 156 181 181 10 % 7% 3% 94 94 4 10 % 8% 4% 98 98 Determine the sample deviation rate, the computed upper deviation rate, and the auditor's conclusion (i.e., testing results do or do not support operating effectiveness of the control) for each control procedure. (For Results, use Table 8-8 & Table 8-9 or IDEA) (Round your rates values to 1 decimal place.)
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Account
Transcribed Image Text:Use the sample sizes and the number of deviations determined below.
Control Procedure
2
3
5%
5 %
2%
10 %
Parameters
Risk of incorrect acceptance
Tolerable deviation rate
Expected population deviation rate
Sample size (using tables)
Sample size (using IDEA)
1
Results
Number of deviations
Sample size
Sample deviation rate
Computed upper deviation rate using Tables
1-Sided upper limit using IDEA
Auditor's conclusion
5 %
4 %
1%
156
156
1
181
181
Does support
Determine the sample deviation rate, the computed upper deviation rate, and the auditor's conclusion (i.e., testing results do or do not
support operating effectiveness of the control) for each control procedure. (For Results, use Table 8-8 & Table 8-9 or IDEA) (Round
your rates values to 1 decimal place.)
0
158
0
2.0
✓
3%
%
%
%6
94
94
4
10 %
98
98
Answer is not complete.
Control Procedure
2
Does not support
5
181
2.8 %
6.9✔%
3
Does not support
4
94✔✔
4.3
8.7
✓
%
%
%6
4
Does support
3
98✔
3.1
7.3
✓
%
%
%6
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