Question

Size of sample depends on

1 test checking
2 routine checking
3 internal control system
4 balance sheet audit

Answer 1

Answer:

2. routine checking ! !!!!!!!!

Answer 2

The correct answer is OPTION 3: Internal Control System.

• An internal control system is a set of policies and procedures put in place by management to ensure asset integrity and increase operational efficiency.
• The strategy aids managers in maintaining high levels of productivity while avoiding losses.
• The use of an audit technique on a sample of items within an account balance or class of transactions is known as audit sampling.
• The sampling process should ensure that each unit in the sample has an equal chance of being chosen.