An Accounts Receivable Account Balance Is $500,000 and the Auditor

question 17

Multiple Choice

An accounts receivable account balance is $500,000 and the auditor determines a sample size of 30 would provide adequate assurance. The auditor plans to use a monetary-unit sampling plan with systematic sample selection. The auditor notices that there are six customer accounts of at least $15,000 and would like the systematic selection technique to select all items that are at least $15,000, even if that means the sample size is slightly larger than 30. To achieve the auditor's objectives, the sampling interval should be:

• A)6)
• B)20.
• C)16,666.
• D)15,000.

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