Definition
The auditor picks items without a structured technique, for example by flipping through a stack of invoices, while trying to avoid bias and predictability. AU-C 530 recognizes it as a selection method for nonstatistical samples, with the caveat that it must not be influenced by items that are easy to reach, unusual, or that the auditor already knows. It is not random selection and cannot support statistical evaluation.
Why it matters in an audit or review
Haphazard picks tend to drift toward accessible, recent or small items. That drift defeats the representativeness the sample is meant to give, even if the sample size is adequate. In peer review, a file with a haphazard selection but no rationale invites a comment, and a statistically framed conclusion drawn from it is not supportable.
Example
An auditor needs 25 expense reports from 600 (illustrative). A warehouse of paper files has them in monthly folders. Taking whatever comes off the top of each folder favors the most recently filed. A better approach is a random number list mapped to folder and position, which removes the choice.
Common mistakes
- Calling the sample random in the file when the selection was haphazard.
- Selecting a block of consecutive items and treating it as representative.
- Reusing the same haphazard choices year after year.
FAQ
When is haphazard selection acceptable?
Only in nonstatistical sampling, and only when the auditor can support that the selection was not biased.
Sources
- AICPA, AU-C Section 530, Audit Sampling (methods of selection; haphazard selection not appropriate when using statistical sampling)
Definitions paraphrase AICPA and FASB guidance; read the standard itself before relying on a requirement. Example figures are illustrative. This page is guidance, not professional advice. Report an error