Need for sampling in Auditing

Need for sampling in Auditing

1. The  number of transactions which take place every day, it becomes almost impossible to complete audit work within given time and cost, if the auditor examines each and every transaction. 
2. The auditor can make selective examination of transaction to draw reasonable conclusions to form an opinion on financial information, in most of auditing situations. 
3. In case where auditor is of the view that internal control system is sound and effective, audit procedures on sampling may be applied. 
4. Audit in depth can be conducted by auditor only if selective examination of transactions is used. It is intensive and step-by-step examination of selected transactions, all aspects of transaction are reviewed from the beginning to the end.