The 4,000 Accounts Receivable of Miller Company Have a Total

question 68

Multiple Choice

The 4,000 accounts receivable of Miller Company have a total book value of $150,000.A CPA has selected and audited a sample of 100 accounts with a total book value of $3,700 and an audited value of $3,800.
-Using the difference estimation technique,estimated total audited value of the population is:

• A)$150,000.
• B)$152,000.
• C)$154,000.
• D)$154,054.

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Definitions:

Barriers to Entry

Obstacles that make it difficult for new competitors to enter a market, including high startup costs, legal restrictions, and strong brand identity.

Research and Development

Activities undertaken by companies or organizations to innovate and introduce new products or processes.

Revenue

The total amount of money generated from the sale of goods or services, before deducting any expenses.

Total Cost

The complete cost of production that includes both fixed and variable expenses incurred to produce a good or service.