What best describes the purpose of audit sampling?

The purpose of audit sampling is centered around making inferences about a population based on the analysis of a subset of that population. When auditors conduct sampling, they do not examine every single transaction or item within the entire dataset. Instead, they select a portion of the data to evaluate, which allows them to form conclusions that can be generalized to the entire population. This approach is particularly useful due to the practical constraints of time and resources in auditing.

By analyzing a sample, auditors can derive insights about the overall effectiveness of the operations or controls in place, estimate the frequency of errors or irregularities, and assess the overall soundness of the financial statements or operational processes. This method is efficient and often necessary, as examining every transaction can be unfeasible or unnecessary, especially in large datasets.

In contrast, other options focus on various aspects of auditing but do not capture the primary purpose of sampling. Evaluating internal controls, verifying every transaction, or assessing risk levels are important activities within the audit process but do not specifically address the core function of audit sampling, which is to draw conclusions based on a representative portion of data.