Question: Will review for a correct answer, thanks! Question 43 (17 points) Edwards used Monetary Unit Sampling (MUS) sampling in the audit of a client's accounts

 Will review for a correct answer, thanks! Question 43 (17 points)

Will review for a correct answer, thanks!

Question 43 (17 points) Edwards used Monetary Unit Sampling (MUS) sampling in the audit of a client's accounts receivable balance. Edwards has determined the following variables: Tolerable Misstatement: $25,000 Detection Risk: 10% Expected Misstatement: $5,000 Book Value of Accounts Receivable: $800,000 1. Calculate the sampling interval 2. Calculate the sample size Edwards should use given the following information: (do not round) 3. Without prejudice to the sample interval computed in part A, Assume that Edwards used a sampling interval of $6,000. Calculate the estimated error if the following misstatements were discovered in the MUS sample (can handwrite answer and submit into S.) Book Value Audit Value $800 $620 7500 5200 350 0 4. What conclusion should Edwards make regarding A/R? Support your conclusion with numbers Blank 1: Blank 2: Blank 3: Blank 4: Question 43 (17 points) Edwards used Monetary Unit Sampling (MUS) sampling in the audit of a client's accounts receivable balance. Edwards has determined the following variables: Tolerable Misstatement: $25,000 Detection Risk: 10% Expected Misstatement: $5,000 Book Value of Accounts Receivable: $800,000 1. Calculate the sampling interval 2. Calculate the sample size Edwards should use given the following information: (do not round) 3. Without prejudice to the sample interval computed in part A, Assume that Edwards used a sampling interval of $6,000. Calculate the estimated error if the following misstatements were discovered in the MUS sample (can handwrite answer and submit into S.) Book Value Audit Value $800 $620 7500 5200 350 0 4. What conclusion should Edwards make regarding A/R? Support your conclusion with numbers Blank 1: Blank 2: Blank 3: Blank 4

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