Which term describes the entire set of data from which a sample is drawn?

The term that describes the entire set of data from which a sample is drawn is "Population." In statistical sampling, the population refers to the complete group of individuals or items that share a common characteristic and from which a sample is selected for analysis.

Understanding the concept of population is fundamental in audit sampling because it establishes the context for the sample. The population can be any set of records, transactions, or elements that the auditor wishes to draw conclusions about.

For example, if an auditor wants to evaluate the accounts receivable of a company, the population would include all accounts receivable transactions. Sampling from this population allows the auditor to make inferences about the entire set without examining every single transaction, thereby increasing efficiency while still achieving reasonable assurance regarding the financial statements.

The other terms reflect different concepts in the auditing and sampling process. A sampling unit refers to the individual items within the population that are selected for the sample. Tolerable misstatement is the amount of misstatement in an account balance that the auditor is willing to accept while still considering the financial statements to be fairly stated. Stratification is a process used to divide a population into smaller sub-groups, or strata, which can lead to more efficient sampling methods but does not define the complete