What process do I follow for sampling in ISAE Attestation?

  Answer:

1. Ensure that using a sample either agrees to the procedure or will address the objective of the procedure and provide sufficient and appropriate evidence.
2. Determine the population you will be sampling from and ensure that the population is valid, accurate and complete.
3. Determine which sampling unit will be selected for testing (for example an EFT payment, or a trust creditor balance, or a matter file, etc.) to meet the objectives of the procedure.
4. Understand the nature of the transactions that make up a population and whether you need to stratify the population, whether there are individually material transactions/balances, or any other understanding necessary to determine how to sample the population.
5. Apply the firm’s methodology for the type of sampling, for example:
   1. Statistical sampling uses statistical methods, tools or formulae for sampling. Examples of statistical sampling are:
      1. Random selection, which means using a statistical tool such as a random number generator that gives you a set of random numbers within the population parameters that you use. It is important to note that random does not mean judgmental – random is a statistical concept.
      2. Using probability theory to evaluate sample results, or in the measurement of sampling risk.
   2. Non-statistical sampling uses professional judgment to select sample items, i.e. once the auditor has determined the appropriate population, sampling unit and sample size, the auditor judgmentally selects the number of items required in the sample.
6. Select the required number of items for the sample from the population and proceed to obtain and document the evidence in accordance with documentation requirements of ISAE3000(R) and your firm’s methodology and evaluate the results of testing and any further impact on sufficiency of evidence as required by the firm’s methodology.

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