Which coding audit method involves evaluating a small number of records to assess compliance?

Random sampling is the coding audit method that assesses compliance by evaluating a small number of records selected from a larger dataset. This approach allows auditors to draw conclusions about the entire population based on the insights gained from the sampled records, minimizing bias in selection and providing a cost-effective way to gauge accuracy and compliance. By randomly selecting records, the audit ensures that every record has an equal chance of being chosen, which enhances the reliability of the findings.

In contrast, retrospective audits involve reviewing records after the fact, often analyzing complete datasets rather than a small sample, which could lead to more comprehensive but less focused audits. Concurrent audits occur while services are being provided and typically review real-time data, while external audits are conducted by outside professionals who assess an organization’s compliance and practices. Neither of these methods focuses on sampling in the same way that random sampling does.