for Internal Auditors
In auditing, sampling means applying testing procedures to less than 100% of the population and assess certain characteristics of the sample to support the audit conclusions
Probably the most common audit sampling technique. The audit team selects a sample based on its professional judgement instead of applying a rigorous mathematical approach.
It is a structured approach based on probabilistic calculations which allows the audit team to draw conclusion on the entire population on the basis of the examined sample
MUS enables auditors to evaluate the accuracy of monetary values within a population with confidence. By employing statistical sampling techniques, auditors can define appropriate sample sizes, measure sampling risk, and draw reliable conclusions about the accuracy of financial data. MUS provides a structured approach that ensures audit resources are utilized efficiently while maintaining rigorous audit standards.
Monetary Unit Sampling (MUS) is a statistical sampling technique used to test the accuracy of monetary values within a population. It is particularly valuable when auditing financial statements, where precision and reliability are paramount. MUS offers auditors a systematic and efficient way to assess the accuracy of financial data while managing sampling risk effectively.
The MUS tool in this site enables user to automate to the maximum possible extent the sampling process. Download an exel file containing the accounting entries and the tool will compute the sampling size and extract the sample data. Once completed the audit tests on the sampled entries, the system will compute the results and estimate the maximum potential error in the whole book.
As a bonus, you can use a Materiality Calculator to compute the materiality threshold for the book you are auditing, offering three different algorithms: