DRome,CPA Is Conducting a Classical Variables Sampling Application on a Client's

question 14

Essay

D.Rome,CPA is conducting a classical variables sampling application on a client's accounts receivable recorded at $3,000,000.These receivables are composed of 5,000 customer accounts.Assume that Rome identified an acceptable level of the risk of incorrect acceptance of 5 percent,determined a sample size of 100,and confirmed the accounts with the client's customers.Rome's substantive procedures indicated that the average audited value was $590 per account.
a.Determine the sample estimate of the client's accounts receivable.
b.If the standard deviation of sample estimates is $30,calculate the precision.
c.Calculate the precision interval.

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Definitions:

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A phrase often used to describe the death of an individual, suggesting they have reunited with deceased family members in the afterlife.

Ulithi

An atoll in the Caroline Islands of the western Pacific Ocean, known for its strategic location and cultural significance.

Temporal Interpretations

Approaches to understanding concepts, events, or phenomena in relation to time, including historical context and changes over periods.

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Based on, concerned with, or verifiable by observation or experience rather than theory or pure logic.