Certified Internal Auditor (CIA) 2025 – 400 Free Practice Questions to Pass the Exam

The advantage of statistical sampling over nonstatistical sampling lies significantly in its ability to provide a quantitative measure of sampling risk. In statistical sampling, the use of probability theory allows auditors to make inferences about the population based on the sample selected. This process includes determining sample sizes, selecting random samples, and calculating margins of error and confidence levels.

By quantifying sampling risk, auditors can assess the likelihood that the sample may not accurately represent the population. This information is crucial because it enables the auditor to make informed decisions about the reliability of their findings and the adequacy of their sample size. Such quantification is essential in risk assessment and enhances the overall quality of the audit process.

In contrast, nonstatistical sampling does not provide this level of rigor regarding sampling risk, as it relies on judgment and experience rather than statistical methods. Therefore, while nonstatistical sampling might still yield useful results, it lacks the quantitative backing that statistical sampling offers, reducing the effectiveness of decision-making based on those results. Observing this difference between the two methods highlights the strength of statistical sampling in an audit context.