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| Overview of Audit Sampling | |
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| Nonstatistical and Statistical Audit Sampling | |
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| Types of Statistical Sampling Plans | |
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| Historical Developments of Statistical Sampling in Auditing | |
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| What Are the Advantages of Statistical Sampling? | |
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| The Risk of Sampling | |
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| What Are Sampling and Nonsampling Errors? | |
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| Statistical Sampling and Professional Judgment | |
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| Relationship of Statistical Sampling to Auditing Standards | |
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| Chapter Organization | |
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| Is Sampling Involved? | |
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| Selecting a Representative Sample | |
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| Definition of Random Sample, Population, and Sampling Frame | |
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| Sampling with or without Replacement | |
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| Unexamined Sample Items | |
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| Random-Number Tables | |
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| Using a Random-Number Table | |
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| Computer-Generated Random Numbers | |
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| Systematic Selection | |
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| Random Systematic Selection | |
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| Probability-Proportional-to-Size Selection | |
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| Stratified Selection | |
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| Haphazard Selection for Nonstatistical Sampling | |
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| Summary | |
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| Selecting a Sample | |
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| Adams Supply Company | |
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| Attribute Sampling | |
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| Attribute Sampling Plans | |
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| Attribute Sampling and the Independent Auditor's Assessment of Control Risk | |
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| Planning Considerations for Test of Controls | |
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| Attribute and Deviations Conditions | |
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| Population Definition | |
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| Judgment in a Statistical Test of Controls | |
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| Setting Risk of Assessing Control Risk Too Low (Reliability Level) | |
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| Tolerable Rate (Upper Precision Limit) | |
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| Fixed-Sample-Size Attribute Sampling | |
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| Sequential (Stop-or-Go) Attribute Sampling | |
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| Qualitative Analysis in Attribute Sampling Applications | |
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| Illustrative Attribute Sampling Application | |
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| Discovery Sampling | |
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| Relating Attribute Sampling Results to Monetary Misstatement | |
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| Summary | |
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| Millar Company, Inc. | |
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| EFT, Inc. | |
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| Tech Producers, Inc. | |
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| Client, Inc. | |
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| Lewis and Foot, CPAs | |
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| CPE Associates | |
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| Taylor and Sons, Inc. | |
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| Becker and Warren | |
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| Dalton Stationery, Inc. | |
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| Using Variable Sampling for Accounting Estimation | |
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| Precision and Reliability | |
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| A Review of Selected Statistical Concepts | |
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| What Is Accounting Estimation? | |
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| Unstratified Mean Per Unit | |
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| Steps in Applying Unstratified Mean Per Unit | |
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| Demonstration of Unstratified Mean Per Unit | |
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| Stratified Mean Per Unit | |
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| Steps in Applying Stratified Mean Per Unit | |
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| Difference Estimation | |
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| Steps in Applying Unstratified Difference Estimation | |
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| Ratio Estimation | |
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| Summary | |
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| Empress Cosmetique Case | |
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| Stratified Sampling, Inc. | |
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| Foot, Tick, and Tie, CPAs | |
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| Ace Corporation | |
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| Catalog Sales | |
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| Sunnytime Snack Company | |
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| Using Variable Sampling for Audit Hypothesis Testing | |
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| Sampling Risk and Audit Sampling | |
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| Audit Risk, Materiality, and Substantive Audit Tests | |
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| Tolerable Misstatement | |
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| The Audit Hypothesis Model | |
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| Demonstration of the Audit Hypothesis Model | |
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| Proposing a Statistical Adjustment | |
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| Summary | |
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| Supplementary Topic: Using Audit Sampling for Compliance Auditing | |
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| Blumenthal, Inc. | |
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| Statistical, Inc. | |
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| Draper, Inc. | |
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| Fairview Publishing Company | |
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| Accounts Receivable, Inc. | |
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| AHT, Inc. | |
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| Smith, Inc. | |
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| Microtext Corporation and Industrial Supply Company | |
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| Probability-Proportional-to-Size Sampling | |
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| Objectives and Assumptions of PPS Sampling | |
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| Advantages and Disadvantages of Using PPS Sampling | |
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| Basic Description of PPS Sampling | |
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| Evaluation Based on the Poisson Probability Distribution | |
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| PPS Sampling for Overstatements | |
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| Sampling Risk and PPS Sampling | |
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| Determining Tolerable Misstatement Using PPS Sampling | |
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| Determining the PPS Sample Size | |
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| PPS Sampling for Overstatements and Understatements | |
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| PPS Sampling for Attributes | |
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| Summary | |
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| Clip Joint, Inc. | |
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| Roll Tide | |
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| Wagner's Appliance Company | |
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| Bell and Tyler, Inc. | |
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| Carter and Warren, Inc. | |
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| Nonstatistical Audit Sampling | |
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| How Does Statistical Sampling Differ from Nonstatistical Sampling? | |
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| Why Use Nonstatistical Audit Sampling? | |
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| What Is a "Formal" Nonstatistical Sampling Plan? | |
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| Why Use a Formal Nonstatistical Sampling Approach? | |
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| Illustration of a Formal Approach to Nonstatistical Sampling | |
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| Use of Nonstatistical Sampling for Tests of Controls | |
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| Summary | |
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| Nonstatistical, Inc. | |
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| Landi Corporation | |
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| Ryan Corporation | |
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| Calculation Worksheets | |
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| List of Equations | |
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| SAS No. 39--Audit Sampling (AU 350 As Amended) | |
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| Audit Sampling: Auditing Interpretations of Section 350 | |
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| Index | |