Question
What does the UDR represent in tests of controls?
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Answer
The estimated upper deviation rate.
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Question
When can the auditor rely on a control after attributes sampling?
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Answer
When UDR is at or below tolerable deviation rate.
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Question
Why can a sample deviation rate be below tolerable but still fail the control test?
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Answer
Sampling risk can push UDR above tolerable.
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Question
What is tainting in monetary-unit sampling?
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Answer
The misstatement as a percentage of book value.
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