Tractor Dealership an Accountant Was Performing an Audit for a Tractor

question 108

Essay

Tractor Dealership
An accountant was performing an audit for a tractor dealership.An auditor wants to examine the monetary error made by the purchasing order department in the month of July.He decided to randomly sample 100 of the 925 purchase orders for the month of July,and found the amount of error in each one.The statistics for this sample were: = $6.0 and s = $17.012. ​ ​
-{Tractor Dealership Narrative} Why should the finite population correction factor (FPCF)be used for this problem? Explain.

---

Definitions:

Horn Effect

A cognitive bias causing negative traits or experiences with an individual to influence overall perception of them disproportionally.

Recency Effect

is the cognitive phenomenon where the most recently presented items or experiences are more likely to be remembered than those presented earlier.

Superimposing

The process of laying or placing one thing over another, typically so that both are still evident.