b. Drnientarl Micctatement: Module 4 Hands on Case Instructions: Using the Module 4 Template provided, solve the two following problems. In order to receive partial credit, use formulas wherever possible. Save your file as "Module_4_LastName_FirstName.xls." Upload the final version of your file for grading. Non-statistical Problem You work for a top-notch audit firm, Foreman \& Griswold LLP. You have been assigned to audit inventory at FMG Sporting Goods. Due to the composition of the account, you have decided to audit the balance using non-statistical sampling methods. The account balance is $13,270,000 and is comprised of 1,475 items. The account balance has been segregated into the following strata: - Based on the results of the tests of controls and risk assessment procedures, the risk of material misstatement has been assessed as moderate - The desired confidence level is moderate - The tolerable misstatement allocated to inventory is $400,000, and the expected misstatement is $150,000 - The auditor plans to test 100% of the frems from the top stratum (items >$100,000 ) a. Calculate the sample size. b. You have identified the following errors during your testing. Use the ratio projection method of evaluation to calculate the projected misstatement. b. Drnientarl Micctatement: Module 4 Hands on Case Instructions: Using the Module 4 Template provided, solve the two following problems. In order to receive partial credit, use formulas wherever possible. Save your file as "Module_4_LastName_FirstName.xls." Upload the final version of your file for grading. Non-statistical Problem You work for a top-notch audit firm, Foreman \& Griswold LLP. You have been assigned to audit inventory at FMG Sporting Goods. Due to the composition of the account, you have decided to audit the balance using non-statistical sampling methods. The account balance is $13,270,000 and is comprised of 1,475 items. The account balance has been segregated into the following strata: - Based on the results of the tests of controls and risk assessment procedures, the risk of material misstatement has been assessed as moderate - The desired confidence level is moderate - The tolerable misstatement allocated to inventory is $400,000, and the expected misstatement is $150,000 - The auditor plans to test 100% of the frems from the top stratum (items >$100,000 ) a. Calculate the sample size. b. You have identified the following errors during your testing. Use the ratio projection method of evaluation to calculate the projected misstatement