An Auditor Who Uses Statistical Sampling for Attributes in Testing

Multiple Choice

An auditor who uses statistical sampling for attributes in testing internal controls is most likely to reduce the planned reliance on a prescribed control when the

A) Sample deviation rate plus the allowance for sampling risk equals the tolerable deviation rate.
B) Sample deviation rate is less than the expected population deviation rate used in planning the sample.
C) Tolerable deviation rate less the allowance for sampling risk exceeds the sample deviation rate.
D) Sample deviation rate plus the allowance for sampling risk exceeds the tolerable deviation rate.