An audit staff is planning her substantive testing procedures of inventory. Below is pertinent information regarding her testing: Account balance: $7,000,000 Risk of incorrect acceptance: 5% Tolerable misstatement: $280,000 Expected misstatement: $105,000 Based on the information above, what is the sample size? 105 Ob. 124 Oc. 132 O d. 192

Holt Mcdougal Larson Pre-algebra: Student Edition 2012
1st Edition
ISBN:9780547587776
Author:HOLT MCDOUGAL
Publisher:HOLT MCDOUGAL
Chapter11: Data Analysis And Probability
Section11.4: Collecting Data
Problem 3E
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An audit staff is planning her substantive testing procedures of inventory. Below is pertinent information regarding her testing:
Account balance: $7,000,000
Risk of incorrect acceptance: 5%
Tolerable misstatement: $280,000
Expected misstatement: $105,000
Based on the information above, what is the sample size?
O a. 105
Ob. 124
O c. 132
O d. 192
Transcribed Image Text:An audit staff is planning her substantive testing procedures of inventory. Below is pertinent information regarding her testing: Account balance: $7,000,000 Risk of incorrect acceptance: 5% Tolerable misstatement: $280,000 Expected misstatement: $105,000 Based on the information above, what is the sample size? O a. 105 Ob. 124 O c. 132 O d. 192
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