Can someone confirm (or correct) my understanding of evaluating the results of variables sampling?
So, when you're analyzing the results of your variables testing results, you choose between mean per unit, ratio, or difference estimation by using the formula to arrive at a point estimate. The point estimate is then added to the allowance for sampling risk to arrive at the acceptable range. You then compare the client's book value to the auditor's range that you just calculated, right?
Thank you!