What does systematic selection in auditing involve?

Systematic selection in auditing specifically refers to the method of choosing every nth item from a population. This technique ensures that the selection process is not entirely random, as it follows a fixed interval which can help achieve a representative sample while also minimizing the potential for bias. By using a predetermined interval, auditors can efficiently and effectively select items for examination, allowing for a structured approach to sampling that facilitates the identification of patterns and anomalies within the data.

This method is particularly useful when dealing with large data sets, as it provides a simpler logistical approach compared to random selection. Additionally, systematic selection can provide a more controlled sampling environment, ensuring comprehensive coverage of the entire population without the need to individually assess each item, making it both time-efficient and cost-effective for auditors.