IIA Exam IIA-CIA-Part2 Topic 7 Question 85 Discussion

Actual exam question for IIA's IIA-CIA-Part2 exam

Question #: 85
Topic #: 7

Which of the following is an advantage of nonstatistical sampling over statistical sampling?

ANonstatistical sampling provides more objective recommendations for management.

BNonstatistical sampling provides an opportunity to select the minimum sample size required to satisfy the objectives of the audit tests.

CNonstatistical sampling provides for the use of subjective judgment in determining the sample size.

DNonstatistical sampling permits the auditor to specify a level of reliability and the desired degree of precision.
Nonstatistical sampling allows auditors to use their professional judgment to determine the sample size and select the items to be tested. Unlike statistical sampling, which relies on probabilistic methods to determine the sample size and selection, nonstatistical sampling is more flexible and can be tailored to the specific circumstances of the audit engagement.
IIA Reference:
IIA Standard 2320: Analysis and Evaluation suggests that internal auditors should apply appropriate methods to analyze data and draw conclusions. Nonstatistical sampling allows for the application of professional judgment, which can be advantageous in certain audit situations where rigid statistical methods may not be practical or necessary.
The Practice Guide on Sampling discusses the differences between statistical and nonstatistical sampling, highlighting that nonstatistical sampling relies more on the auditor's judgment, which can be beneficial in certain contexts.
Given this, the correct answer is C. Nonstatistical sampling provides for the use of subjective judgment in determining the sample size.

Show Suggested Answer

Suggested Answer: C

by Dottie at Aug 23, 2024, 10:46 AM

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Ruth

10 months ago

Ah, the age-old battle between statistics and gut instinct. As a seasoned auditor, I know that both have their place. But in this case, C is the way to go. Gotta let that professional judgment shine, am I right?

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Portia

8 months ago

In this case, C is definitely the advantage of nonstatistical sampling.

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Maira

8 months ago

It's all about finding the right balance between statistics and judgment.

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Ardella

9 months ago

Definitely, sometimes you just have to trust your gut.

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Carolynn

9 months ago

I agree, professional judgment is key in determining the sample size.

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Virgina

10 months ago

Hold up, did you say 'subjective judgment'? That's perfect! Now I can finally put my supreme auditing powers to good use. Forget about those pesky numbers, I've got this all figured out in my head.

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Ulysses

10 months ago

Hmm, I'm not sure. Isn't using subjective judgment kind of risky? I mean, what if I just pick a sample size that's way too small and miss something important? Maybe statistical sampling is the safer bet.

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Hildegarde

9 months ago

Nonstatistical sampling is more flexible and can be tailored to the specific circumstances of the audit engagement.

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Dulce

9 months ago

User Comment: Hmm, I'm not sure. Isn't using subjective judgment kind of risky?

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Dwight

9 months ago

Ezekiel: I see your point. It's important to consider the benefits and limitations of both methods before deciding which one to use.

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In

9 months ago

Nonstatistical sampling allows auditors to use their professional judgment to determine the sample size and select the items to be tested.

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Cordelia

10 months ago

Statistical sampling may provide more objective recommendations, but nonstatistical sampling can be advantageous in certain audit situations.

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Ezekiel

10 months ago

But nonstatistical sampling allows for flexibility in determining the sample size based on the specific circumstances of the audit engagement.

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Luisa

10 months ago

It's true that using subjective judgment in nonstatistical sampling can be risky.

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Romana

10 months ago

That's true, but in certain audit situations, the flexibility of nonstatistical sampling can be more beneficial.

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Katlyn

10 months ago

I agree, C is the correct choice. Nonstatistical sampling gives me the flexibility to tailor the sample to the specific audit situation. Plus, it lets me use my expert intuition, which is way more reliable than boring old statistics.

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Tracie

10 months ago

I prefer nonstatistical sampling too. It allows us to use our professional judgment, which can be more beneficial in certain audit contexts.

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Ammie

10 months ago

I agree, C is the correct choice. Nonstatistical sampling gives me the flexibility to tailor the sample to the specific audit situation.

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Reita

10 months ago

But doesn't statistical sampling provide more objective recommendations for management?

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Edna

11 months ago

I agree, it's great that auditors can use their professional judgment in selecting items to be tested.

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Delpha

11 months ago

C is the right answer. Nonstatistical sampling allows me to use my professional judgment to determine the sample size. That's way better than being constrained by those rigid statistical methods.

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Willodean

10 months ago

It's true, being able to tailor the sample size to the specific circumstances is a big advantage.

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Major

10 months ago

I agree, nonstatistical sampling gives us more flexibility to use our judgment.

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Romana

11 months ago

I think nonstatistical sampling allows for more flexibility in determining the sample size.

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