AN EXPERIENCE WITH SMALL RANDOM SAMPLES IN AUDITING.
Abstract The suggestion is frequently made that only by experiment under actual field conditions can the validity of statistical sampling methods in auditing be established. Certainly experimentation can throw light into corners of the subject, which the theorist may not have noticed, or adequately emphasized, and facilitating devices developed by individual practitioners may be of general interest. The assurance of randomness in the samples was a very important factor in this result. For these reasons the following brief description of procedures developed in two successive audits of the same client are presented. The auditors are happy about the sampling for these reasons: (1) more care in each step of the sampling is encouraged, (2) the random sample covers more areas of the accounts, and (3) a very graphic picture of sampling results is given, especially when a working paper tabulation of them is made. These results flow partly from the smaller sample size and partly from the random selection. The client was also pleased with the results.
- DOI
- 10.2308/tar-7086939
- Volume
- 27 (4)
- Pages
- 472-474
- Language
- en
- Export
- BibTeX
- Sources
- openalex crossref