# An accounting firm uses sampling methods in its client auditing processes. Accounts of a particular type are grouped together in a batch size of 25. The auditor is concerned about erroneous accounts escaping the auditing process. Sampling and auditing the accounts is time consuming and very expensive, and a random sample of size n = 5 is about the largest

An accounting firm uses sampling methods in its client auditing processes. Accounts of a particular type are grouped together in a batch size of 25. The auditor is concerned about erroneous accounts escaping the auditing process. Sampling and auditing the accounts is time consuming and very expensive, and a random sample of size n = 5 is about the largest sample that can practically be used. Suppose that the batch of accounts contains one erroneous account. What is the probability that the sample that is selected contains the erroneous account?

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**Related Book For**

## Introduction to Statistical Quality Control

7th edition

**Authors:** Douglas C Montgomery

**ISBN:** 978-1118146811