 In this presentation, we will continue on with our discussion of attribute sampling applied to test of controls this time considering evaluation. First a word from our sponsor. Well actually these are just items that we picked from the YouTube Shopping Affiliate Program, but that's actually good for you because these aren't things that we're just given to us from some large corporation which we don't even use in exchange for us selling them to you. These are things that we actually researched, purchased, and used ourselves. Ugg slippers. I usually walk around my home in just my socks but I wanted a high quality pair of slippers that didn't have a heel on them so I can slip them on easily, give me a little bit more warmth than just my socks provide, and which has a sole on them so I can deal with messes in the home such as spilled liquid or broken glass without getting my socks wet or my feet cut up and the Ugg slippers do a great job with that. I like the quality of the slippers. They feel like they're going to last a long time. They will probably outlast me so I recommend the Ugg slippers. If you would like a commercial free experience, consider subscribing to our website at accountinginstruction.com or accountinginstruction.thinkific.com where we have many different courses. You can purchase one at a time or have a subscription model giving you access to all the courses. Courses which are well organized have other resources like Excel files and PDF files to download and no commercials. We call in that when conducting a statistical sample for test of controls, auditing standards require the auditor to properly plan, perform, and evaluate the sampling application and to adequately document each phase of the sampling application. Those phases plan, perform, evaluate, document. We now have considered plan and perform and are now on evaluate. In other words, we've planned the attribute sampling process and then we've actually performed the procedures. Now we're going to evaluate the results. Within the evaluation section, we're going to do the tasks or perform the tasks of calculate the sample deviation and upper deviation rates and decide the final conclusion. We're going to come to a conclusion on the results here. Let's go into these in more depth. Calculate the sample deviation and upper deviation rates. When audit procedures are completed, the auditor will summarize the deviations for each control tested and evaluate the results. For example, if there's a deviation of two deviations in a sample of 80, so we had a sample full sample of 80, that's how many things that we tested, we found two deviations. In our example, we're talking about if we had some purchase document that we're testing for a check of controls indicated by an initial, then we have found the initials. We didn't find the initials on two items, those are going to be the deviations out of the 80. The deviation rate in the sample would then be 2.5% or two, the deviations divided by 80, the sample that we had. The upper deviation rate is the sum of the sample deviation rate and allowance for sampling risk. And then we're going to decide on the final conclusion. So the auditor compares the tolerable deviation rate to the computer upper deviation rate and then we're going to say whether or not we accept this internal control as being a good internal control or not.