In the Past,the Auditors Have Found That the Book Value

question 46

Multiple Choice

In the past,the auditors have found that the book value of a receivable account has been related to the amount the account is misstated (i.e. ,large accounts have large misstatements and small accounts have small misstatements) .Which of the following techniques is most likely to be efficient?

• A)Mean-per-unit estimation.
• B)Ratio estimation.
• C)Difference estimation.
• D)Sequential sampling estimation.

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Definitions:

Assertiveness

The quality of being self-assured and confident without being aggressive.

Bargaining

A negotiation process between two or more parties aimed at reaching a mutually beneficial agreement or resolving a dispute.

Ingratiation

A social influence strategy aimed at making oneself more likable or acceptable by flattering or praising others.

Meeting Starts

The initiation or commencement of a gathering designed for discussion, decision-making, or collaboration among participants.