MENU

STATISTICAL SAMPLING

Page 1

SAMPLING TEST PLAN - SAMPLE SIZE

IF YOUR SAMPLE TEST PLAN IS:

Population Size:
Sampling Error:
Confidence Level:
Expected (true) Error Rate:

10,000
2.0%
90%
5.0%

THEN THE SAMPLE SIZE SHOULD BE:

313

SAMPLING TEST PLAN - SAMPLING ERROR

IF YOUR SAMPLE TEST PLAN IS:

Population Size:
Sample Size:
Confidence Level:
Expected (true) Error Rate:

10,000
313
90%
5.0%

THEN THE SAMPLING ERROR WILL BE:

2.0%

SAMPLE SIZE CALCULATION - DOLLAR UNITS

IF YOUR SAMPLE TEST PLAN IS:

Population Book Value:
Maximum Allowable Error:
Confidence Level:
Expected or Actual Number of Errors:
THEN THE SAMPLE SIZE SHOULD BE:

250,000.00
5.0%
95%
0

60

Required
Maximum Tolerable Error Auditor Will Accept in Pop.
90%, 95% or 99%
Max = 20
Random Samples Only

SAMPLE SIZE CALCULATION - DOLLAR UNITS

Maximum Tolerable Error Auditor Will Accept in Pop.

UPPER CONFIDENCE BOUND FOR MEAN ERROR - DOLLAR UNITS

IF YOUR SAMPLE TEST PLAN IS:

Population Book Value:
Sample Size:
Confidence Level:
Number of Dollar Unit Errors:
A/R or INV?:
UPPER BOUND OF ERROR WILL BE:

250,000.00
60
95%

0
A/R

4.92%

ERROR
TAINTING
VALUES

Required
Dollar Units - Random Samples Only
'90%, 95% or 99%
Max = 100
Enter "A/R" or "INV"
Maximum Tolerable Error Acceptable to Auditor

UPPER CONFIDENCE BOUND FOR MEAN ERROR - DOLLAR UNITS

UPPER CONFIDENCE BOUND FOR MEAN ERROR - DOLLAR UNITS

CONCEPTS

DEFINITIONS
Appraisal of sample results is necessary to determine the sampling precision achieved. This is
because in order to calculate the sample size it was necessary for the auditor to estimate the rate of
occurrence (expected error rate) in the field.
Acceptance Sampling - A method of sampling in which if for a given sample size, if not more than a
certain number of errors is found, then the population is considered acceptable, otherwise the population
is rejected.
Attributes Sampling - Estimation sampling that establishes the frequency of occurrence of some kind of
event or type of item.
Cluster Sample - Groups of items (not individual items) are drawn from the population at random points.
Confidence Level - The probability (expressed in %) that the value obtained from the sample will in fact
depart from the true population value by no more than the amount of the sample precision.
Discovery Sampling - Used to determine the sample size which will give any desired degree of
assurance that at least one occurrence of a particular event will occur in the sample when it happens with
at least a certain frequency in the population.
Estimation Sampling - Used to answer the question of how many or how much.
Expected Error Rate - In Attribute Sampling, used in calculating sample size. Auditor's estimate of the
true rate of occurrence of the event (error) in the population being tested. This is the expected error rate
anticipated by the auditor.
Judgment Sample - Any sample not meeting the criteria of a probability sample.
Maximum Tolerable Error Rate - The maximum true rate of error in the universe with which the auditor
can be comfortable. It is the sum of the expected universe error rate and the upper limit of the sampling
precision.
Multistage Sample - A sample taken on several levels, i.e., a random sample of branch offices and then
a random sample of records at each branch selected.
Population - The totality of observations from which the sample was drawn. Otherwise known as
universe or field.
Sample - The observations drawn from the entire group.
Sample Precision - Error in a statistical sample. Usually expressed as a +/- percentage in relation to the
sample result. Denotes the degree to which the sample result (statistic) reflects the true population
parameter (e.g., error rate).
Standard Deviation - A measure of the dispersion of values about the arithmetic mean, specifically the
average of the distance of all values from the arithmetic mean.
Statistic - The value of the characteristic (average, percentage, proportion of some type, etc.) derived
from the sample.
Statistical Sampling - A sampling method that establishes the required sample size objectvely as well as
appraises the sample results objectively. The sample taken is referred to as a probability or random
sample.
Stratefied Random Sample - Items are segregated into separate segments (or strata) of the population
and any item within a segment has an equal probability of being selected.
Systematic Sampling - A method of obtaining a probability sample consisting of drawing every n th item
beginning with a random start. Otherwise known as interval sampling.
Unrestricted Random Sample - All items in the population have an equal probability of being selected,
without segregating any portion of the field.
Variables Sampling - Estimation sampling that provides an estimate of an average or total value.

Page 9

STANDARD DEVIATION CALCULATION

Standard Deviation is:

#DIV/0!

RANDOM NUMBER LIST

579016
561582
536471
525804
534284
504020
509652
543206
523137
540644
554398
559598
505863
512049
507165
544686
552164
531736
551197
544681
543729
548776
581434
521950
564795
511896
584234
554728
593015
556940
547792
543747
560146
577052
522720
573567
541055
518694
586005
573381
510822
537359
531176
587881
547034
556591
521281
548090
568693
520062
576110
551067
574730
544468
564204
510461
505822
502442
582196
587876
531197
542411
517862
509396
538732
591998
524343

587307
520226
597970
504342
578082
560826
550678
568704
551212
526250
596158
587101
546417
564805
563311
536896
587820
563209
532241
553491
552574
587205
575383
522021
551527
543097
544256
569406
585886
571432
514128
541115
593537
504531
559832
535566
573817
563655
551593
573786
523086
572959
564790
564572
543526
522154
565670
507304
597583
573127
584214
513627
572707
584227
564707
565975
583061
592909
549025
597409
534849
544671
537155
562866
555014
574410
506476

563650
561423
565805
502485
573435
521224
513127
560098
591381
593582
500564
514109
596948
578197
558366
501699
550021
551084
565561
557433
551391
521091
583340
552365
587480
593485
510319
526838
580722
596789
552752
585822
575841
584727
505765
592804
549037
597931
569821
566730
567684
540424
533049
529491
540042
595056
574234
542174
577464
569050
512195
580784
584884
554982
565419
504424
529194
578401
570947
508566
579415
581899
544081
581443
508718
525953
552936

527223
595699
577823
553080
540266
597365
576754
558424
550459
526409
529062
517819
580954
560463
594864
576174
519637
558229
579853
501629
558564
523392
570815
552564
516841
586272
544096
503736
595952
527896
597520
589855
599217
525099
544063
500642
521485
552371
583715
594203
543128
589022
591047
509750
539857
504917
510520
504787
518135
515313
520906
511501
532702
572301
597583
595595
576936
507330
539147
528260
557095
504247
503097
583756
582554
579705
514062

593084
577272
575004
518911
527273
500900
542673
580999
532713
526038
537902
547398
564558
577843
537126
585820
572458
513322
565052
558695
562521
521395
505421
519611
559659
546189
547975
555608
554412
581189
569160
575349
572424
574023
568192
590969
534134
504654
556125
564804
556256
565140
533874
583831
522073
554797
586113
549003
522272
579701
567721
544305
582665
539055
581735
505801
516575
567507
595990
510465
550763
556515
546657
581655
561168
594160
545992

588825
551857
578732
546484
556884
510088
518538
564961
510163
563135
583236
554293
531661
588439
501164
512418
556575
545315
528696
500554
545551
543461
525663
598887
557480
599042
585530
542931
565912
535070
503463
544758
503409
500740
538865
564391
536953
582493
554078
554526
578038
533250
596327
522235
572803
569092
571741
588532
528539
551509
539992
597285
589955
564690
547748
504617
588508
533221
590118
596268
583488
501347
530327
595479
572975
542398
586400

500406
505044
592867
535269
598976
531453
530049
557162
540179
515032
532051
598453
558512
505984
564412
502536
559299
538059
547357
514180
504575
534960
540235
548708
561975
554138
563575
531180
565477
547944
547060
573441
530815
521814
541427
549370
530558
579602
550402
512629
558341
556436
593007
584279
526647
525248
529708
536375
539017
528791
523343
553902
598632
549352
598722
561034
550752
572335
544112
522602
546552
515274
534555
577044
584826
510463
595996

548089
523232
561892
525727
524683
536762
541646
594365
583283
558231
579136
554623
529921
522904
510910
541931
582640
535378
563053
562261
595995
548236
584782
572750
501312
521239
578340
509291
552281
521195
592582
509807
561262
509062
513856
551246
532595
569568
559721
598231
540649
586008
565952
514271
588623
564502
580423
525096
526708
563287
570588
538598
593694
506427
510724
555359
583157
501345
534904
551286
563273
559924
552978
523711
569535
502690
507716

520013
571555
590290
596604
551338
558087
591389
522793
521605
558966
501773
557979
563584
598980
515873
588415
571224
515753
581552
561391
552154
595825
505158
596056
546899
532367
526327
512835
580822
504510
524491
551590
588996
582873
598198
563053
590092
584399
515937
509434
554283
549809
591149
581057
544006
560793
596469
529536
557654
561225
598553
507099
533769
582618
579037
534946
547870
572644
511721
531064
539689
509552
530518
516199
543621
530810
574271

520192
572384
538157
516170
519888
561758
561250
536757
533117
568506
569208
506787
509556
506510
576575
522314
519827
512095
596413
527595
589808
578360
543435
524639
589634
513157
540868
581623
545432
554472
530766
554186
553706
517116
587441
594979
591083
524250
562225
519004
535377
584899
546808
555444
519547
566971
526870
507628
528531
568410
569319
572795
519330
583197
567917
519202
550032
588119
521971
599104
521441
578460
587512
590564
594581
541954
541786

RANDOM NUMBER LIST

534573
567844
528694
575932
562882
539894
521286
572319
519277
543731
581004
571369
530259
599206
528496
595471
553961
521233
573713
595439
549704
558620
548026
598926
567346
566283
547569
553368
521647
516974
520546
571422
529703
520729

556123
530905
502240
546891
508659
568912
533472
592742
577014
559589
565739
571556
501943
546734
542585
593545
505692
591821
503037
582691
561359
599044
592445
561184
531887
500212
565261
568669
579200
519842
504307
567790
549905
545149

549008
569313
503050
569430
557928
599715
556854
556046
569381
598212
524582
597063
519413
535445
538127
583097
555864
579865
557827
521311
520121
534815
509043
509462
588347
541259
573031
534479
512361
540101
520027
591758
567028
516875

587979
565299
560430
518610
521383
505012
543649
591314
564833
520418
582251
561557
522669
574213
569471
553042
578013
539169
595366
548071
553039
507097
596239
582906
517337
594263
500837
575889
516893
542325
526658
574718
562505
533738

565422
533915
530087
510130
519266
595443
582694
599957
523580
515830
558270
591805
578557
587301
503520
562875
508773
534430
589215
537728
535107
541823
561332
542682
505219
566935
593071
520216
547437
527938
557949
549916
531813
583436

528499
585485
599918
577442
551796
518344
552577
591255
580600
516603
502576
560493
587430
516636
593414
586656
592235
564585
525014
529975
523605
559143
586269
570104
584747
516217
586688
515485
553583
502318
557054
569559
545655
512628

559027
544636
543931
503740
511659
533709
521276
597807
532572
544937
531483
534135
541263
569003
597272
599584
593748
580375
539764
537111
569691
596282
500049
500270
547266
556750
552103
582323
542743
557235
562458
500611
518144
513243

569798
571226
563833
513278
551216
541619
501676
504938
576130
544981
583385
577964
531585
535138
528332
536560
577552
523491
504840
570648
556464
512187
542563
515328
557673
584638
508572
538417
564517
515998
596974
597736
593707
526876

548211
511837
576095
530754
530722
554353
563763
517744
584879
520521
547643
574767
516177
593667
543450
549480
553771
589068
564740
565761
557760
549498
541106
548452
561394
569421
541758
568572
560132
571191
570822
508106
598462
542089

541780
593572
575935
589048
524124
551826
513173
587733
585427
570008
565470
531695
543629
520719
575166
575570
585296
524188
585672
593492
573854
586393
577041
530641
503544
573184
586971
563345
545248
549637
563242
557017
532928
568497

Sample Size Calculation - Variables Sample

IF YOUR SAMPLE TEST PLAN IS:
Population Size (No. of values):
Sampling Error (In dollars, days, etc.):
Confidence Level:
Estimated Standard Deviation

0.00
10.00
95%
50.00

THEN THE SAMPLE SIZE SHOULD BE:

95

If unknown, enter 0.
Range of error (+/-) of the sample result - keep it small.
90%, 95% or 99%
Worst case population error rate expected.
Random Samples Only

SAMPLING ERROR CALCULATION - VARIABLES SAMPLE

IF YOUR SAMPLE TEST PLAN IS:

Population Size:
Sample Size:
Confidence Level:
Estimated Standard Deviation:

5,000.00
94
95%
50.00

THEN THE SAMPLING ERROR WILL BE:

10.01

If unknown, enter 0.
Random Samples Only
90%, 95% or 99%
From pilot sample of 50 items.
Range of error (+/-) of the sample result - keep it small.

SAMPLE SIZE CALCULATION - DISCOVERY SAMPLE

IF YOUR SAMPLE TEST PLAN IS:

Population Size:
Level of Assurance:
Rate of Occurrence:
THEN THE SAMPLE SIZE SHOULD BE:

10,000

Required - Amounts up to 50,000

95%

90%, 95% or 99%

3.0%
99

Required - Up to 5%
Random Samples Only