1.

In performing tests of controls and tests of details, the extent and selection of items to test include
a. All items. c. Audit sampling.
b. Specific non-representative items. d. All of the above.

2. Evaluate whether each of the following statements qualifies as sampling:

1.1 – Test performed on 100% of the items within a population
1.2 – Selecting items over a certain amount
1.3 – Selecting items for the total population on the basis that was expected to be representative
a. 1.1, 1.2, 1.3 qualify
b. 1.1 and 1.2 qualify; 1.3 does not qualify
c. 1.1 and 1.2 do not qualify; 1.3 qualifies
d. 1.1, 1.2, 1.3 do not qualify

3. Performing 100% testing is least likely possible in which of the following?

a. Large value but small in number accounts. c. Testing customer credit approvals.
b. Assertions with assessed significant risks. d. Use of CAATs.

4. Testing specific items does not include selecting

a. High value or key items.
b. Items to obtain certain information.
c. Items to test the operation of certain control activities.
d. Representative sample to conclude for an entire population.

5. This involves the application of audit procedures to less than 100 percent of items within a population of audit
relevance such that all sampling units have a chance of selection
a. Audit sampling. c. Audit simulation.
b. Specific selection. d. Audit population.

6. Which of the following causes an inappropriate conclusion or audit risk?

a. Sampling risk. c. Both a and b.
b. Non-sampling risk. d. Neither a nor b.

7. A sample in which the characteristics of the sample are the same as those of the population is a(n):
a. variables sample. c. attributes sample.
b. representative sample. d. random sample.

8. Which of the following would cause a sampling error (or sampling risk) in an audit of financial statements?
a. Selecting a non-representative sample c. Applying audit procedures improperly
b. Selecting inappropriate audit procedures d. Interpreting results inappropriately

9. The risk that the auditor’s conclusion based on a sample may be different from the conclusion if the entire
population were subjected to the same audit procedure
a. Sampling risk c. Statistical sampling
b. Confidence levels d. Tolerable rate and the expected rate of deviation

10. At times a sample may indicate in the case of a test of controls, that controls are more effective than they actually
are. This situation illustrates the risk of
a. Over-reliance. c. Incorrect precision.
b. Under-reliance. d. Incorrect rejection.

11. At times a sample may indicate in the case of a test of details that a material misstatement does not exist when in
fact it does. This situation illustrates the risk of
a. Incorrect rejection c. Over reliance
b. Incorrect acceptance d. Under reliance

12. The risk likelihood of assessing control risk too low (risk of over reliance) and risk of incorrect acceptance relate to
the
a. Efficiency of the audit c. Preliminary estimates of materiality levels
b. Effectiveness of the audit d. Allowable risk of tolerable misstatements

13. Sampling risk may be controlled by:

I. Increasing the sample size
II. Using an appropriate sample selection method
a. Yes, Yes b. Yes, No c. No, Yes d. No, No
14. To determine if a sample is truly representative, an auditor must:
a. conduct multiple samples of the same population.
b. never use sampling because of the expense involved.
c. audit the entire population.
d. use systematic sample selection.

15. In practice, auditors _________ know if a sample is truly a representative one.

a. sometimes b. often c. routinely d. never

16. The risk that the auditor does not recognize misstatements or deviations included in the sample for what they are
a. Sampling risk c. Statistical sampling
b. Confidence levels d. Non-sampling risk

17. Which of the following is not an element of non-sampling risk?

a. The auditor uses inappropriate procedures in auditing accounts receivable
b. The use of unreasonable small sample size
c. Misinterpretations of audit evidence
d. Auditor fails to recognize the error in the sample

18. Which of the following is not one of the basic phases in audit sampling?
a. Planning the sample.
b. Selecting the sample and performing the tests.
c. Evaluating the results of the sample.
d. Each of the above is a phase in audit sampling.

19. In defining the objective of tests of controls or tests of details, an auditor should consider which of the following
to perform the appropriate audit procedures and obtain relevant audit evidence?
a. Financial statements assertions. c. Population.
b. Materiality. d. Sampling risk.

20. In performing tests of controls, a deviation refers to

a. A departure from adequate control performance.
b. A difference between the recorded amount and the amount the auditor determines to be appropriate.
c. A voided sample.
d. The presence of characteristics of control.

21. Population is
a. A process that divides population into sub-populations which have an identifying characteristic and reduces the
variability of items within each stratum and allows sample size to be reduced without increasing sampling risk
b. A selection that treats each sampling unit as the individual monetary units that make up the population.
c. The individual items constituting a population.
d. The entire set of data from which a sample is selected and about which the auditor wishes to draw
conclusions.

22. The sampling units might be

a. Physical items (for example, checks listed on deposit slips, credit entries on bank statements, sales invoices or
debtors’ balances).
b. Monetary units.
c. Either a or b.
d. Neither a nor b.

23. In identifying the relevant population, an auditor should consider

a. Direction of testing. c. For tests of details, stratification or value-weighted selection.
b. Completeness. d. All of the above.

24. In performing vouching, an auditor should obtain a sample from a population of

a. Records. c. Actual items.
b. Supporting documents. d. Any of the above.

25. To ensure completeness of a population in audit sampling, an auditor may test boundaries and totality of population
by
a. The first and last numbers of prenumbered documents, or the beginning and ending days of an audit period.
b. Accounting for numerical sequence of prenumbered documents.
c. Footing population items and comparing to control total.
d. All of the above.
26. In statistical sampling methods used in substantive testing, an auditor most likely would stratify a population into
meaningful groups which have similar characteristics (often monetary value) if
a. Probability proportional to size (PPS) sampling is used
b. The population has highly variable recorded amounts
c. The auditor’s estimated tolerable misstatement is extremely small.
d. The standard deviation of recorded amount is relatively small.

27. When selecting a stratified sample, the sample size is:

a. determined for the unstratified population and then apportioned to each stratum.
b. determined for each stratum and selected from that stratum.
c. determined for each stratum and selected randomly from the entire unstratified population.
d. always larger than if unstratified sampling had been used.

28. When using monetary-unit sampling, the recorded amount population is a definition of all the items in the:
a. population.
b. population which the auditor has included in the sample.
c. population which contain errors.
d. sample which contain errors.

29. An auditor is applying probability-proportional-to-size (PPS) sampling (a.k.a., combined attributes-variables

(CAV) sampling, cumulative monetary amount (CMA) sampling, dollar-unit sampling (DUS), monetary unit sampling
(MUS), and value-weighted selection). If the population consists of 200 items and is represented by P1,000,000 what is
the probability the auditor will select for testing an account recorded at P100,000?
a. 0.005 b. 0 .100 c. 0.025 d. Not determinable from the facts given.

30. The two general approaches to audit sampling are

a. Random and nonrandom c. Precision and reliability
b. Statistical and nonstatistical d. Risk and non-risk

31. An advantage of statistical sampling—which applies the laws of probability to selecting sample items
for examination and evaluating sample results—over nonstatistical sampling is that statistical sampling helps an
auditor to
a. Minimize the failure to detect errors and irregularities.
b. Eliminate the risk of non-sampling errors.
c. Reduce the level of audit risk and materiality to a relatively low amount.
d. Mathematically measures sampling risk.

32. A nonstatistical sampling plan can:

a. Overstate the estimate of sampling risk
b. Misdirect an auditor to unreliable sampling units
c. Replicate the results of a statistical sampling plan
d. Understate the degree of audit assurance desired

33. Which of the following sampling methods is most useful to auditors when performing tests of controls?
a. Discovery sampling. c. Variable sampling.
b. Attribute estimation/sampling. d. Unrestricted random sampling with replacement.

34. It refers to the statistical sampling plan that does not use a fixed sample size for tests of controls. It is sometimes
called “stop-or-go” sampling because the plan allows the audit team to stop after examining a relatively small sample
and evaluate the results. If the results are clearly acceptable or clearly unacceptable, the audit team can draw its
conclusion; if the results are inconclusive, the audit team can go forward and examine additional items.
a. Ratio estimation sampling c. MUS sampling
b. Sequential sampling d. Variables sampling

35. If the auditor is concerned that a population may contain exceptions, the determination of a sample size sufficient to
include at least one such exception is a characteristic of
a. Discovery sampling. c. Random sampling.
b. Variables sampling. d. PPS sampling.

36. Discovery sampling should be used to estimate whether a population contains

a. Errors of any kind. c. Critical deviations.
b. Noncritical errors. d. No errors.

37. Which of the following sampling methods would be used to estimate a numerical measurement of a population, such
as a peso value?
a. Attributes sampling c. Variables sampling
b. Stop-or-go sampling d. Random sampling
38. The following are the classical variables techniques, except:
a. Ratio estimation c. Value weighted selection
b. Mean-per-Unit (MPU) estimation d. Difference estimation

39. Classical variables sampling uses the laws of probability, the normal distribution theory, and the central limit theorem
to estimate range of
a. The amount of misstatement in the account balance or class of transactions.
b. The true balance for an account balance or class of transactions.
c. Either a or b.
d. Neither a nor b.

40. The distinguishing feature of Monetary-unit sampling (MUS) is that it tends to select higher transactions
or components within an account balance for examination. MUS is not particularly effective at detecting:
a. overstatements. c. errors in current assets.
b. understatements. d. errors in noncurrent assets.

41. Which of the following is not a problem with monetary-unit selection?

a. Population items with a zero recorded balance.
b. Accounts with negative balances.
c. Accounts with small recorded balances that are significantly understated.
d. Population items that should have a zero balance but do not.

42. When sampling for attributes, which of the following would decrease sample size?
I. Operating effectiveness of controls III. Expected control deviation
II. Tolerable rate of deviation IV. Risk of over reliance
a. Increase, Decrease, Increase, Decrease c. Increase, Increase, Decrease, Increase
b. Decrease, Increase, Decrease, Increase d. Decrease, Increase, Decrease, Decrease

43. Which of the following statements is correct concerning statistical sampling in tests of controls?
a. There is an inverse relationship between the sample size and the expected control deviation rate.
b. As the population size doubles, the sample size should also double.
c. The qualitative aspects of deviations are not considered by the auditor.
d. There is an inverse relationship between the sample size and the tolerable rate of deviation.

44. The tolerable rate of deviation is the maximum rate of deviations permissible by the audit team without
modifying the planned assessed level of control risk. In determining the tolerable rate of deviation, the audit team
should consider
a. The planned assessed level of control risk.
b. The degree of assurance desired by the audit evidence in the sample.
c. If a control is judged to be more important and would result in a more significant reduction in substantive testing,
the tolerable rate of deviation should be established at lower levels.
d. All of the above.

45. In determining the acceptable level of the risk of overreliance (i.e., the sampling risk), an auditor should
consider
a. The planned assessed level of control risk.
b. The degree of reliance that the audit team wishes to place on the client’s internal control.
c. As the planned level of control risk is lower, it becomes quite important for the audit team to reduce the exposure
to the risk of overreliance.
d. All of the above.

46. How is the expected population deviation rate determined?

a. Rate of deviations from prior engagements adjusted, if any, for controls improvement or deterioration during
the current year.
b. Use a small sample (referred to as a pilot sample) to estimate the rate of deviations in case of initial audit.
c. Either a or b.
d. Neither a nor b.

47. The tolerable rate of deviations for a test of controls is generally

a. Lower than the expected rate of errors in the related accounting population.
b. Higher than the expected rate of errors in the related accounting records.
c. Identical to the expected rate of errors in the related accounting records.
d. Unrelated to the expected rate of errors in the related accounting records.
48. Which of the following statements is most likely incorrect regarding high expected deviation rate and high
expected misstatement relating to sampling used for tests of controls and tests of details, respectively?
a. If the expected rate of deviation is unacceptably high, the auditor will normally decide not to perform tests of controls.
b. If the expected misstatement is high, the auditor will normally decide not to perform tests of details.
c. If the expected misstatement is high, 100% examination may be appropriate when performing tests of details.
d. If the expected misstatement is high, use of a large sample size may be appropriate when performing tests of details

49. In substantive testing, which of the following would increase sample size?
I. Assessment of control risk IV. Expected amount of misstatement
II. Reliance on other substantive procedures V. Risk of incorrect acceptance
III. Tolerable misstatement
a. Increase, Increase, Decrease, Increase, Decrease c. Increase, Decrease, Decrease, Increase, Decrease
b. Increase, Decrease, Increase, Decrease, Increase d. Decrease, Increase, Increase, Decrease, Increase

50. Determine which of the following would lead to a larger sample size for substantive test of details of an account
balance. Assume all other factors being equal.
a. Smaller measure of tolerable misstatement c. Greater reliance on internal controls
b. Greater reliance of analytical procedures d. Smaller expected frequency of errors

51. When planning a test of details using MUS sampling, tolerable misstatement is usually set
a. higher than planning materiality. c. either higher or lower than planning materiality.
b. lower than planning materiality. d. the same as materiality.

52. Tolerable misstatement may be _____ amount than performance materiality?

a. higher, lower or the same. c. lower or the same.
b. high or lower. d. the same.

53. In determining the acceptable level of the risk of incorrect acceptance (i.e., the sampling risk), for example 10%,
an auditor should consider
a. The audit risk.
b. The risks of material misstatement (i.e., inherent risk and control risk).
c. The analytical procedures risk.
d. All of the above.

54. The audit team’s basic goal in selecting a sample is to increase the likelihood that it is representative of the
population, thereby reducing sampling risk. For example, if the audit team is examining a sample of sales invoices, this
sample should include sales invoices that
a. Have been prepared throughout the year.
b. Represent both large and small amounts.
c. Have been prepared by different individuals involved in the invoice preparation process and represent different
customers or geographic areas.
d. All of the above.

55. Identify the sample selection method used, following the same order:
I. Selecting items using a constant interval between selections; the first interval having a random start.
II. Selecting items from the entire population with no intention to include or exclude specific units
III. All items in the population or within each stratum have a known chance of selection
a. Systematic, random, haphazard. c. Haphazard, systematic, random.
b. Systematic, haphazard, random. d. Random, systematic, haphazard.

56. An underlying feature of random-based selection of items is that each

a. Stratum of the accounting population be given equal representation in the sample.
b. Item in the accounting population be randomly ordered.
c. Item in the accounting population should have an opportunity to be selected.
d. Item must be systematically selected using replacement.

57. If certain forms are not consecutively numbered

a. Selection of a random sample probably is not possible. c. Stratified sampling should be used.
b. Systematic sampling may be appropriate. d. Random number tables cannot be used.

58. In systematic sample selection, the population size is divided by the number of sample items desired in order to
determine the:
a. sampling interval. c. computed upper exceptions rate.
b. tolerable exception rate. d. mean.
59. When using systematic selection procedures with monetary-unit sampling of accounts receivable, the interval
is determined by:
a. consulting a random number table.
b. dividing the population size by the desired sample size.
c. dividing the sample size by the account with the largest value.
d. dividing the population size by the account receivable with the largest value.

60. One unique feature of using systematic random selection in MUS is that the sampling unit is defined as an
individual amount within a population. The audit team examines the logical unit (e.g., a transaction, a customer
balance, etc.) that contains the individual sampling unit that is selected for examination. The statistical methods used to
evaluate monetary-unit samples:
a. neither exclude nor include units twice.
b. permit the inclusion of a unit in the sample more than once.
c. do not permit a unit to be included in the sample more than once.
d. ignore the possibility that a unit may be included in a sample more than once.

61. Which of the following sample selection techniques is least desirable for use by an auditor?
a. Systematic selection c. Block selection
b. Stratified selection d. Sequential selection

62. An auditor is testing internal control procedures that are evidenced on an entity’s vouchers by matching random
numbers with voucher numbers. If a random number matches the number of a voided voucher, that voucher
ordinarily should be replaced by another voucher in the random sample if the voucher
a. Constitutes a deviation. c. Cannot be located.
b. Has been properly voided. d. Represents an immaterial peso amount.

63. An auditor plans to examine a sample of 20 purchase orders for proper approvals as prescribed by the client’s
internal control procedures. One of the purchase orders in the chosen sample of 20 cannot be found, and the auditor
is unable to use alternative procedures to test whether that purchase order was properly approved. The auditor should
a. Choose another purchase order to replace the missing purchase order in the sample.
b. Consider this test of control invalid and proceed with substantive tests since internal control cannot be relied upon.
c. Treat the missing purchase order as a deviation for the purpose of evaluating the sample.
d. Select a completely new set of 20 purchase orders.

64. Anomalous error means

a. An error (deviation or misstatement) that arises from an isolated event that has not recurred other than on specifically
identifiable occasions and is therefore not representative of errors in the population.
b. An deviation or misstatement (error) that the auditor expects to be present in the population.
c. Rate of deviation from prescribed internal control procedures set by the auditor in respect of which the auditor
seeks to obtain an appropriate level of assurance that the rate of deviation set by the auditor is not exceeded by the
actual rate of deviation in the population.
d. Monetary amount set by the auditor in respect of which the auditor seeks to obtain an appropriate level of assurance
that the monetary amount set by the auditor is not exceeded by the actual misstatement in the population.

65. Regardless of the results of the attributes sampling application, the audit team should conduct a qualitative
evaluation of deviations to determine their nature and cause. A qualitative evaluation of deviations attempts to
answer questions such as:
a. Do deviations represent a pervasive error made consistently on all transactions or an isolated mistake made on a
specific transaction?
b. Are deviations intentional or unintentional in nature? Do deviations represent a misunderstanding of
instructions or careless attention to duties?
c. Do deviations have implications with regard to the effectiveness of other controls?
d. All of the above.

66. Which of the following statements regarding projecting the results of audit sampling is incorrect?
a. For tests of details, the auditor shall project misstatements found in the sample to the population.
b. When a misstatement has been established as an anomaly, it may be excluded when projecting
misstatements to the population.
c. Projected misstatement may not be sufficient to determine an amount to be recorded.
d. For tests of controls, projection of deviations is necessary.

(67 to 68) An auditor desired to test credit approval on 10,000 sales invoices processed during the year. The
auditor designed a statistical sample that would provide 1% risk of assessing control risk too low (99% confidence)
that not more than 7% of the sales invoices lacked approval. The auditor estimated from previous experience that about
2½% of the sales invoices lacked approval. A sample of 200 invoices was examined and 7 of them were lacking approval.
The auditor then determined the achieved upper precision limit to be 8%.
67. The allowance for sampling risk was
a. 5 ½% b. 4 ½% c. 3 ½% d. 1%

68. In the evaluation of this sample, the auditor decided to increase the level of preliminary assessment of control risk
(CR is high) because the
a. Tolerable rate (7%) was less than the achieved upper precision limit (8%).
b. Expected deviation rate (7%) was more than the percentage of errors in the sample (3 ½%).
c. Achieved upper precision limit (8%) was more than the percentage of error in the sample 3 1/2%).
d. Expected deviation rate (2 ½ %) was less than the tolerable rate (7%).

69. When the upper precision limit exceeds the tolerable rate of deviation, the auditor may
a. Reduce reliance on internal control.
b. Expand the sample to examine a larger number of items by at least the number of items in the original sample, as a rule
of thumb.
c. Either a or b.
d. Neither a nor b.

70. An auditor is evaluating the results of a variables sampling plan. Which of the following is not relevant to the
auditor's judgment about the sample?
a. Management's explanations for why errors in the sample occurred.
b. Projecting the sample error to the population.
c. Considering the effects of sampling risk.
d. Qualitative information that lends insight into errors found.

71. Which one of the following is a proper course of action for the auditor when the upper misstatement limit exceeds the
tolerable misstatement?
a. Analyze the detected misstatements for some common problems.
b. The auditor can ask the client to correct the known misstatements or investigate misstatements that have been
identified and the potential for further misstatements and to make any necessary adjustments.
c. The auditor can expand the sample. If enough additional items are examined and no additional
misstatements are detected, the recalculated upper limit on misstatements could fall below the tolerable misstatement
to enable the audit team could conclude that the financial statements were not materially misstated
d. All of the above

72. Which of the following is not an aspect of sampling risk?

a. Risk of assessing control risk too high
b. Risk of not identifying a misstatement included in a sample
c. Risk of incorrect acceptance
d. Risk of sampling results indicating that a population is materially misstated when it is not

73. Which of the following is true about sampling and nonsampling risks?
a. Sampling risk can be reduced by increasing the sample size
b. Sampling risk cannot be eliminated
c. Nonsampling risk can be eliminated by proper engagement planning, supervision and review
d. Nonsampling risk arises from the possibility that the auditor’s conclusion, based on a sample may be different
from the conclusion reached if the entire population were subjected to the same audit procedure

74. In performing substantive tests, the auditor is concerned with errors of sampling
The risk of incorrect rejection (Alpha error or Type I error)
The risk of incorrect acceptance (Beta error or Type II error)

Which of the following is true about alpha and beta errors?

a. The alpha error is of greater concern to the auditor than beta error
b. The beta error is of greater concern to the auditor than alpha error
c. The alpha error and the beta error are of equal importance to the auditor
d. Neither the alpha error nor beta error need be considered by the auditor

75. In examining cash disbursements, an auditor plans to choose a sample using systematic selection with a random
start. The primary advantage of such a systematic selection is that population items
a. That include irregularities will not be overlooked when the auditor exercises compatible reciprocal options.
b. May occur in a systematic pattern, thus making the sample more representative.
c. May occur more than once in a sample.
d. Do not have to be prenumbered in order for the auditor to use the technique.
76. When the auditor goes through a population and selects items for the sample without regard to their size, source, or
other distinguishing characteristics, it is called:
a. Block sample selection. c. Systematic sample selection.
b. Haphazard selection. d. Statistical selection.

77. In testing payroll transactions, an auditor discovers that four out of a statistical sample of one hundred selected time
cards were not signed by the appropriate supervisor. To evaluate the materiality or significance of this control
deficiency, the auditor should
a. Compare the tolerable deviation rate with the expected deviation rate.
b. Compute an upper precision limit and compare with the tolerable rate.
c. Evaluate the amount of the four time cards in relation to the financial statements.
d. Report the deviations and let management assess the significance because they are in the best position to know.

78. Assuming the tolerable deviation rate is 5 percent, the expected population rate is 3 percent, and the
allowance for sampling risk is 2 percent, what should an auditor conclude if tests of 100 randomly selected
documents reveal 4 deviations?
a. Accept the sample results as support for assessing control risk below the maximum because the tolerable rate less
the allowance for sampling risk equals the expected population deviation rate.
b. Assess control risk at the maximum because the sample deviation rate plus the allowance for sampling risk exceeds
the tolerable rate.
c. Assess control risk at the maximum because the tolerable rate plus the allowance for sampling risk exceeds
the expected population deviation rate.
d. Accept the sample results as support for assessing control risk below the maximum because the sample deviation
rate plus the allowance for sampling risk exceeds the tolerable rate.

79. Statistical sampling techniques may be used to sample “attributes” as well as “variables”. An example of a
“variable” that can be tested using statistical sampling technique would be:
a. The number of errors in the client-prepared aging schedule of accounts receivable.
b. The balance in the accounts receivable account.
c. Compliance with the requirement that each voucher be initialed by the treasurer before a check is prepared for payment
of the voucher.
d. The number of entries improperly posted to a job order cost card.

80. How would increases in tolerable misstatement and assessed level of control risk affect the sample size in
a substantive test of details?
I. Increase in tolerable misstatement
II. Increase in assessed level of control risk
a. Increase sample size; Increase sample size c. Decrease sample size; Increase sample size
b. Increase sample size; Decrease sample size d. Decrease sample size; Decrease sample size

81. Statistical sampling provides a technique for

a. Exactly defining materiality. c. Eliminating judgment in testing.
b. Greatly reducing the amount of substantive testing. d. Measuring the sufficiency of evidential matter.

82. The expected population deviation rate of client billing errors is 3%. The auditor has established a tolerable rate of
5%. In the review of client invoices the auditor should use
a. Stratified sampling. c. Discovery sampling.
b. Variable sampling. d. Attribute sampling.

83. Which of the following is not generally considered in determining sample size for tests of controls?
a. Expected population exception rate. c. Tolerable exception rate.
b. Risk of assessing control risk too low. d. Population size.

84. Which of the following would be an example of sampling error?

a. The auditor chose a random sample, calculated a sample error rate of 4%, and concluded that the population
error rate was 4%. The true population error rate was 6%.
b. The auditor selected a non-random sample and generalized the sample results to the population using statistical
methods.
c. The auditor chose a non-random sample to focus on transactions for only 2 months of the year.
d. The auditor chose a random sample and divided the number of errors in the sample by the number of accounts in the
sample to calculate the sample error rate.
85. Some conditions leading to a larger sample size in substantive testing:
I. Reliance on internal control
1.1 higher reliance 1.2 lower reliance
II. Reliance on other substantive tests related or same audit objectives as class of transactions
2.1 higher reliance 2.2 lower reliance
III. Measure of tolerable errors for a specific audit objective
3.1 larger measure 3.2 smaller measure
IV. Expected size and frequency of errors
4.1 larger errors or higher frequency 4.2 smaller errors or lower frequency

a. Combination of 1.2, 2.2, 3.2, 4.1 c. Combination of 1.2, 2.2, 3.1, 4.2
b. Combination of 1.1, 2.1, 3.2, 4.1 d. Combination of 1.1, 2.1, 3.1, 4.2

86. Which of the following statements is correct concerning statistical sampling in tests of controls?
a. The population size has little or no effect on determining sample size except for very small
population.
b. The expected control deviation has little or no effect on determining sample size except for very small
populations.
c. As the population size doubles, the sample size also should double.
d. A large sample size should be selected as the expected control deviation decreases.