Mylab Accounting With Pearson Etext -- Access Card -- For Auditing And Assurance Services (17th Edition)
Mylab Accounting With Pearson Etext -- Access Card -- For Auditing And Assurance Services (17th Edition)
17th Edition
ISBN: 9780135176115
Author: Alvin A. Arens, Randal J. Elder, Mark S. Beasley, Chris E. Hogan
Publisher: PEARSON
Question
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Chapter 15, Problem 31DQP

a.

To determine

Determine the appropriate non-statistical sample size for columns 2 to 7 and its impact on the factors ARO, TER, EPER and population size compared with column 1.

b.

To determine

Determining the initial sample size needed to satisfy the auditor’s requirements using attributes sampling.

c.

To determine

Determining the effect on initial sample size when the factors change separately keeping the other factors held to be constant. The factors that change are an increase in ARO, an increase in the TER, an increase in the EPER, and an increase in the population size.

d.

To determine

Identify the reason for the large difference in the sample sizes for columns 3 and 6.

e.

To determine

Identify the factor which appears to have the greatest effect on the initial sample size and one that appears to have the least effect among the four factors by comparing the results of part c with part a or part b.

f.

To determine

Explain the reason of calling the sample size as the initial sample size.

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