Simple random Sample selection: Every possible combination of elements in the population that has an equal chance of constituting the sample. Random number tables Computer Generation of Random numbers Arens. Loebbecke: Auditing, &/E @2000 Prentice hall. Inc
Arens, Loebbecke; Auditing, 8/E ©2000 Prentice Hall, Inc. Simple Random Sample Selection: Every possible combination of elements in the population that has an equal chance of constituting the sample. • Random Number Tables • Computer Generation of Random Numbers
Systematic Sample selection: The auditor calculates an interval and then methodically selects the items for the sample Probability proportional to size: Take a sample where the probability of selecting any individual population item is proportional to its recorded amount Stratified Sample selection Divided the population into subpopulations by size and take large sample of the larger subpopulations. @2000 Prentice hall. Inc
Arens, Loebbecke; Auditing, 8/E ©2000 Prentice Hall, Inc. Systematic Sample Selection: The auditor calculates an interval and then methodically selects the items for the sample. Probability Proportional to Size: Take a sample where the probability of selecting any individual population item is proportional to its recorded amount. Stratified Sample Selection: Divided the population into subpopulations by size and take large sample of the larger subpopulations
Statistical Versus Nonstatistical Sampling Statistical sampling allows the quantification(measurement) of sampling risk in planning the sample(Step #1) and evaluating the results(Step #3) In nonstatistical sampling, the auditor selects items that he or she believes will provide the most useful information in the circumstances @2000 Prentice hall. Inc
Arens, Loebbecke; Auditing, 8/E ©2000 Prentice Hall, Inc. Statistical Versus Nonstatistical Sampling Statistical sampling allows the quantification (measurement) of sampling risk in planning the sample (Step #1) and evaluating the results (Step #3). In nonstatistical sampling, the auditor selects items that he or she believes will provide the most useful information in the circumstances