Assume that an account has the following characteristics: Number of items in the account-300 Recorded amount- ($

Question:

Assume that an account has the following characteristics:

Number of items in the account-300 Recorded amount- \(\$ 600,000\)

Sample size-100 Required:

a. If the sample mean is \(\$ 1,800\) and mean estimation is used, the estimate of the account total is \(\$\)

b. If ratio estimation is used and (1) the recorded amount of the sample is \(\$ 200,000\) and (2) the audit amount of the sample is \(\$ 210,000\), the estimate of the account total is \(\$\)

c. If difference estimation is used and (1) the recorded amount of the sample is \(\$ 200,000\) and (2) the audit amount of the sample is \(\$ 195,000\), the estimate of the account total is \(\$\)

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For  book-img-for-question

Auditing An Assertions Approach

ISBN: 9780471134213

7th Edition

Authors: G. William Glezen, Donald H. Taylor

Question Posted: