The True Proportion of Accounts Receivable with Some Kind of Error

question 28

True/False

The true proportion of accounts receivable with some kind of error is 4 percent for Venal Enterprises. If an auditor randomly samples 50 accounts receivable, it is acceptable to use the normal approximation to estimate the probability that fewer than two will contain errors.

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Definitions:

Obverse

The opposite or counterpart of a given logical statement.

Proposition

A statement that expresses a concept that can either be true or false.

Converse

In logic, the condition obtained by swapping the hypothesis and conclusion of a conditional statement.

Propositions

Proclamations or claims that articulate an evaluation or belief, which may be true or untrue.