[kjoonx2]

I am confused about sample sizes!

I know for attribute sampling, the variables that affect sample size are:

1. Allowable risk of assessing control risk too low

2. tolerable deviation rate

3. expected deviation rate

I know for variable sampling, the variables that affect sample size are:

1. Variability in the population

2. The risk of incorrect acceptance

3. The tolerable deviation rate

4. Expected deviation rate

(This information I got from Becker Audit)

Now, from the Wiley Review Material, it is saying that…

Substantive test of details sampling involves:

1. Allowable risk of incorrect acceptance

2. Tolerable misstatement

3. Characteristics of the population

but NOT deviation rate!

Now, I thought that substantive test of details sampling was the same as variables sampling and so this threw me off. Now I am wondering if substantive test of details vs. variables sampling are two different things? If not, why does one include the deviation rate and why the other doesn’t?

[jfreelov]

Attribute sampling is part of testing controls, not part of substantive procedures. When performing substantive procedures, you are trying to verify that a particular number is correct and there is no such thing as a true/false deviation.

FAR - 71, 94
BEC - 91
REG - 51, 88
AUD - 89

[jfreelov]

Attribute sampling is part of testing controls, not part of substantive procedures. When performing substantive procedures, you are trying to verify that a particular number is correct and there is no such thing as a true/false deviation.

FAR - 71, 94
BEC - 91
REG - 51, 88
AUD - 89

[kjoonx2]

O sorry, I meant I was confused between variable sampling and substantive tests of details sampling. I knew that attribute sampling was for controls.

I guess my real question is, what exactly is substantive tests of details sampling?

[kjoonx2]

O sorry, I meant I was confused between variable sampling and substantive tests of details sampling. I knew that attribute sampling was for controls.

I guess my real question is, what exactly is substantive tests of details sampling?

[jfreelov]

Variable sampling IS a substantive tests of details. I think Becker's description is either wrong or misleading. It shouldn't say tolerable deviation rate and expected deviation rate; instead, it should be tolerable misstatement and expected misstatement.

FAR - 71, 94
BEC - 91
REG - 51, 88
AUD - 89

[jfreelov]

Variable sampling IS a substantive tests of details. I think Becker's description is either wrong or misleading. It shouldn't say tolerable deviation rate and expected deviation rate; instead, it should be tolerable misstatement and expected misstatement.

FAR - 71, 94
BEC - 91
REG - 51, 88
AUD - 89

[Author]

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