IIA-CIA-PART2 · Question #290
In which of the following populations would the internal auditor most likely choose to use a stratified sampling approach?
The correct answer is C. Revenue that is earned by an organization through cash receipts or as receivable. Stratified sampling is used when the population can be divided into distinct subgroups (strata) that differ significantly from each other but are internally homogeneous. In the context of auditing, revenue earned through cash receipts or as receivables would have different…
Question
In which of the following populations would the internal auditor most likely choose to use a stratified sampling approach?
Options
- AInventory comprised of the same items stored in different warehouses
- BBatches of materials that must be confirmed as meeting quality standards
- CRevenue that is earned by an organization through cash receipts or as receivable.
- DTax reports submitted to meet the requirements of the local taxation authority
How the community answered
(34 responses)- A3% (1)
- B3% (1)
- C82% (28)
- D12% (4)
Explanation
Stratified sampling is used when the population can be divided into distinct subgroups (strata) that differ significantly from each other but are internally homogeneous. In the context of auditing, revenue earned through cash receipts or as receivables would have different characteristics and risk profiles. Stratifying the population allows the auditor to ensure that each subgroup is adequately represented in the sample, leading to more reliable and accurate audit conclusions.
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