An auditor is planning the confirmation of accounts receivable. The total of debit balances in the...

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An auditor is planning the confirmation of accounts receivable. The total of debit balances in the trial balance of receivables is $1.8 million. The auditor has decided that the tolerable misstatement for this sample is $80 000, the risk of incorrect acceptance is 10% and two errors are expected. There are 8000 customer balances. Given this information, calculate what the estimated sample size should be for this auditor: (Use the following table to determine your answer.) Number of risk of incorrect acceptance: Occurrences 10% 5% 0 1 2 3 2.4 3.0 3.9 4.8 5.4 6.3 6.7 7.8 An auditor is planning the confirmation of accounts receivable. The total of debit balances in the trial balance of receivables is $1.8 million. The auditor has decided that the tolerable misstatement for this sample is $80 000, the risk of incorrect acceptance is 10% and two errors are expected. There are 8000 customer balances. Given this information, calculate what the estimated sample size should be for this auditor: (Use the following table to determine your answer.) Number of risk of incorrect acceptance: Occurrences 10% 5% 0 1 2 3 2.4 3.0 3.9 4.8 5.4 6.3 6.7 7.8

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