HOW MUCH TEST CHECKING IS ENOUGH?
The traditional answer to the question of how much test checking is required is enough to satisfy the auditor. The profession, through its national organization, has attempted to make this answer more meaningful by adopting a tentative statement of auditing standards which places emphasis upon the auditor's training, his preliminary preparation for each engagement, his independence and so on. The auditor, even though conscientious, may become satisfied with his test sooner if there are other engagements pressing for his attention, if the client is worried about the fee and if he happens to be feeling ill on a particular day. Quite aside from the possibility of any adoption of standards by the profession in an organized capacity, each practitioner needs to have a tool, which he can depend upon. Such a tool would enable the auditor to apply the same standard of quality consistently or to make explicit and definite adjustments in it for differing circumstances. Such a tool is now available to the accounting profession. It is the sampling theory developed by statisticians and now widely used in the sciences. It consists basically of the calculation of probabilities.
- DOI
- 10.2308/tar-7070004
- Volume
- 26 (1)
- Pages
- 22-30
- Language
- en
- Export
- BibTeX
- Sources
- openalex crossref