Question

Which of the following sampling techniques is typically used for test of controls?

A. Mean-per-unit sampling.
B. Difference sampling.
C. Attribute sampling.
D. Probability-proportional-to-size sampling.

Answer 1

Attribute sampling is the correct choice for sampling techniques used for tests of controls, as it assesses compliance with internal control procedures.

Step-by-step explanation:

The sampling technique typically used for tests of controls is C. Attribute sampling. Attribute sampling is a statistical technique used in auditing that involves checking whether each item in a sample of documents or transactions has a particular characteristic (or attribute). This characteristic could be compliance with an internal control procedure, such as ensuring that all transactions have been authorized.

This method is suited for test of controls because it allows the auditor to assess the rate of compliance with a given control procedure and to draw conclusions about the effectiveness of that control within the population.