Nonsampling risk What is nonsampling risk and how can it be eliminated?
Nonsampling risk includes all aspects of audit risk that are not due to sampling. Nonsampling risk would include using auditors who are not properly trained, inadequate supervision, use of an improper or incorrect audit procedure, or the misinterpretation of information. Nonsampling risk cannot be eliminated on an audit, but it can be guarded against. Implementation of good quality- control practices, carefully designed audit programs, and assignment of qualified personnel to each audit will help minimize nonsampling risk.
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Spark, Inc., which manufactures the fireworks that municipal governments buy to put on their annual fireworks shows on the Fourth of July, moved most of its manufacturing operations from the United States to China a decade ago. Now, Spark is moving production back to the United States because the company's managers are uncomfortable with many Chinese business practices. Spark, Inc. engages in __________ when it moves its operations back to the United States.
A. offshoring B. outsourcing C. reshoring D. globalizing E. countertrading
Which of the following statements is true regarding a product form competition?
A) It is a wide definition of competition. B) It is useful in the long run. C) It represents the true underlying competitive dynamics. D) It provides the closest set of competitors.
______ is essential for team effectiveness because it encourages members to work together to reach the same goal. However, too much of it can lead to lack of accountability and decision-making.
What will be an ideal response?
Samuel manages an automobile dealership. He overheard a customer complaining to his salesperson, Noreen, that he wasn’t happy that the vehicles were made in Japan, rather than in the United States. The customer clearly felt that more vehicles should be made in his country. The customer was demonstrating ______ syndrome.
a. not in my backyard b. not invented here c. domestic product favoritism d. home country product preference