Question: Population Size = 10,000 items Book value = $8,000,000 Tolerable misstatement = $300,000 Sample (mean-per-unit estimation method results) Size = 100 items. Average book value

Population

Size = 10,000 items

Book value = $8,000,000

Tolerable misstatement = $300,000

Sample (mean-per-unit estimation method results)

Size = 100 items.

Average book value of sample items = $795

Allowance for sampling risk = $200,000

Projected misstatement = $100,000 overstatement

The most likely amount of the misstatement is equal to:

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