Using Statistical Sampling to Assist in Verifying the Year-End Accounts

question 39

Multiple Choice

Using statistical sampling to assist in verifying the year-end accounts payable balance, an auditor has accumulated the following data: Projecting the misstatement to the population, the auditor's estimate of year-end accounts payable balance would be

• A) $5,050,000.
• B) $5,125,000.
• C) $6,000,000.
• D) $6,150,000.

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Definitions:

Competitiveness

The ability of a company, country, or product to compete effectively and successfully in the market.

Purchased Materials

Goods and components bought from external suppliers for use in manufacturing processes or for resale.

Commodity Manager

A professional responsible for procuring raw materials, goods, or services in a specific commodity area, often focusing on strategy, supplier selection, and price negotiation.

Reshoring

The practice of bringing manufacturing and production back to a company's original country from overseas to improve control and reduce costs.