Demonstrate non-statistical sampling for an Operation Audit, a Compliance Audit, and a Financial Statement Audit.

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Answer 1

Answer #1

Non - Statistical Sampling

Non Statistical sampling is the selection of test of sample that is based on selector's judgement rather than formal statistical method.

Operational Audit

Operational audit is examination of the way in which organization conduct businesses with the objective of pointing out improvements that will increase its efficiency and effectiveness.

Non-statistical sampling for an operational audit

When using non-statistical sampling for an operational audit, auditor use his own judgement for following things

Non - statistical sampling helpful when the size of population is big.
From the various process of organisation by using non statistical sampling auditor can audit some process by using his own judgement.

Compliance Audit

Compliance audit is comprehensive review of an organization's adherence to regulatory guideline. Objective of compliance audit is checking effectiveness of compliance practice and protocol.

Non - Statistical sampling for Compliance Audit

While doing compliance audit for checking various regulatory compliance auditor by using on his judgement can take sample of compliance instead of checking all compliance.
In big organisation where many compliance procedure done daily, auditor can use non statistical sampling method for doing compliance audit.

Financial Statement Audit

Financial statement audit is the examination of an entity's financial statements and accompanying disclosure by independent auditor.
By doing this audit, auditor give report of fairness of presentation of financial statement and related disclosure.

Non Statistical Sampling for Financial Statement Audit

In audit of financial statement auditor can use non statistical sampling for evaluating the company's result by his own judgement.

Answer 2

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