Assume Several Auditors Selected Various Unrestricted, Unstratified Random Samples from a Population
Assume several auditors selected various unrestricted, unstratified random samples from a population of 1,200 customers' accounts receivable with a recorded value of $480,000.The results of their tests are shown in the table below.
Required:
For each of the sample sizes, calculate the projected likely misstatement (PLM) using (1) average difference method, and (2) the Dollar Unit Sample method.Treat each case independently.Round the PLM solutions to the nearest dollar.
Projected Likely Misstatement
Overstatement (Understatement)
Definitions:
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