Premium
On Regression Sampling in Statistical Auditing: Bad Answers to the Wrong Questions?
Author(s) -
Vos A.F.
Publication year - 1989
Publication title -
statistica neerlandica
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.52
H-Index - 39
eISSN - 1467-9574
pISSN - 0039-0402
DOI - 10.1111/j.1467-9574.1989.tb01263.x
Subject(s) - audit , statistics , regression , sampling (signal processing) , regression analysis , bayesian probability , econometrics , confidence interval , linear regression , computer science , mathematics , accounting , economics , filter (signal processing) , computer vision
This paper criticizes the use of regression in audit samples to obtain confidence intervals for the error rate. Also the methodology to evaluate methods by simulation studies using real–life populations is criticized. This is done from a Bayesian viewpoint, which goes as far as stating that in this type of research the wrong questions are answered. A fundamental discussion on the role of model building, illustrated by the use of models in auditing, forms the centre of the paper.