An auditor wishes to test the assumption that the mean value of all accounts receivable in...
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An auditor wishes to test the assumption that the mean value of all accounts receivable in a given firm is $260.00 by taking a sample of n=36 and computing the sample mean. The auditor wishes to reject the assumed value of $260.00 only if it is clearly contradicted by the sample mean. Determine the critical values of the sample mean for testing the hypothesis at 5% level of significance, given that the standard deviation of the accounts receivable is known to be o = $43. An auditor wishes to test the assumption that the mean value of all accounts receivable in a given firm is $260.00 by taking a sample of n=36 and computing the sample mean. The auditor wishes to reject the assumed value of $260.00 only if it is clearly contradicted by the sample mean. Determine the critical values of the sample mean for testing the hypothesis at 5% level of significance, given that the standard deviation of the accounts receivable is known to be o = $43.
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Null hypothesis H0 Mean of accounts receivable 260 Alternative hypothesis Ha Mean is not equ... View the full answer
Related Book For
Auditing Cases An Interactive Learning Approach
ISBN: 9780134421827
7th Edition
Authors: Mark S Beasley, Frank A. Buckless, Steven M. Glover, Douglas F Prawitt
Posted Date:
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