A company has experienced a large amount of billing errors in its accounts receivable department. The company

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

Question:

A company has experienced a large amount of billing errors in its accounts receivable department. The company suspects that these errors are due to fraud committed by one of its employees. The company decides to hire a forensic accountant to investigate the situation. During the investigation, the forensic accountant finds that the employee responsible for the fraud has been falsifying billing invoices by adding an extra zero to the end of the invoice amount. For example, an invoice that should be $1,000 is being submitted as $10,000. The forensic accountant determines that the fraudulent invoices were submitted for a period of six months and resulted in a total overstatement of revenue of $250,000.

Calculate the average amount of overstatement of revenue per invoice, and determine the total number of invoices that were fraudulently submitted during the six-month period.