1

Evaluating a PPS sample Assume the following misstatements were found in a PPS sample: Sample Item...

Question

Evaluating a PPS sample Assume the following misstatements were found in a PPS sample: Sample Item...

AP10.8 (LO 8) Challenging Evaluating a PPS sample Assume the following misstatements were found in a PPS sample: Sample Item

Evaluating a PPS sample Assume the following misstatements were found in a PPS sample:

Sample Item Book Value Audit Value

1 $ 650 $    585      

2 540   0      

3 1,900 0      

4 2,200 1,650      

5 2,800 2,660      

a. Calculate the projected misstatement assuming:

  • The sampling interval was $1,800.
  • The sampling interval was $ 2,000.
AP10.8 (LO 8) Challenging Evaluating a PPS sample Assume the following misstatements were found in a PPS sample: Sample Item Book Value Audit Value $ 585 $ 650 540 1,900 2,200 1,650 2,800 2,660 Required a. Calculate the projected misstatement assuming: 1. The sampling interval was $1,800. 2. The sampling interval was $2,000.

Answers

Projected misstatement can be computed by deducting the audit value from the book value

1. The sample interval was $1,800

PPS misstatement = 1900+2200+2800-0-1650-2660

= $2,590

2. The sampling interval was $2,000

PPS misstatement = 2200+2800-1650-2660

= $690


Similar Solved Questions

1 answers
Please answer both of the following questions: Price мC ATC AVC В A Quantity/Week Refer to...
Please answer both of the following questions: Price мC ATC AVC В A Quantity/Week Refer to the above figure. The competitive firm's short run supply curve starts at B and goes along the ATC curve as quantity increases. starts at B and goes along the MC curve as quantity increases. s...
1 answers
Preterm and term infants have different nutrition needs. Explain why premature infants have special dietary needs....
preterm and term infants have different nutrition needs. Explain why premature infants have special dietary needs. Subject Nutrition chapter 11...
1 answers
How do you determine the amplitude of #y= -2 sin x#?
How do you determine the amplitude of #y= -2 sin x#?...
1 answers
Provide the major organic product(s) of the reaction shown below
Provide the major organic product(s) of the reaction shown below...
1 answers
The cavity within a copper [β = 51 × 10-6 (C°)-1] sphere has a volume of...
The cavity within a copper [β = 51 × 10-6 (C°)-1] sphere has a volume of 1.160 × 10-3 m3. Into this cavity is placed 1.100 × 10-3 m3 of benzene [β = 1240 × 10-6 (C°)-1]. Both the copper and the benzene have the same temperature. By what amount ΔT shoul...
1 answers
Maple Mount Fishery is a canning company in Astoria. The company uses a normal costing system...
Maple Mount Fishery is a canning company in Astoria. The company uses a normal costing system in which factory overhead is applied on the basis of direct labor costs. Budgeted factory overhead for the year was $680,000, and management budgeted $320,000 of direct labor costs. During the year, the com...
2 answers
Shown below is a portion of the rotational spectrum of CO. The main peaks nd to...
Shown below is a portion of the rotational spectrum of CO. The main peaks nd to transitions of the c6O molecule, while the minor peaks correspond to other isotopic correspon combinations. Using data obtained from this spectrum, determine the equilibrium bond length re of 12c16O in Å. C12018 10...
1 answers
Suppose that this year's money supply is $500 billion, nominal GDP is $10 trillion and real...
Suppose that this year's money supply is $500 billion, nominal GDP is $10 trillion and real GDP is $5 trillion. a. What is the price level? b. What is the velocity of money? (Please calculate your answers in billions, i.e. leave off the zeros (0) if necessary.) c. Suppose that velocity is consta...
1 answers
Which sedimentary rock metamorphoses into marble? 1) gneiss 2) basalt 3) obsidian 4) limestone
Which sedimentary rock metamorphoses into marble? 1) gneiss 2) basalt 3) obsidian 4) limestone...
1 answers
What is an example of a vertical motion with a positive velocity and a negative acceleration?
What is an example of a vertical motion with a positive velocity and a negative acceleration?...
1 answers
How to factorize this #(16-x^2)(4-y)^2-(4-x)^2(16-y^2)#?
How to factorize this #(16-x^2)(4-y)^2-(4-x)^2(16-y^2)#?...
1 answers
Key questions Summarize the differences between the basic business forms listed below: Sole Proprietorship Partnership Corporation...
Key questions Summarize the differences between the basic business forms listed below: Sole Proprietorship Partnership Corporation Regulation Taxation Liability Continuity Transferability of Ownership Management Structure Ability to Rose Capital Presentation English United States Continuity Transfer...
1 answers
Silver Company needs $1,000,000 in order to buy a new equipment for its business Silver's net...
Silver Company needs $1,000,000 in order to buy a new equipment for its business Silver's net income is $950,000. Their target capital structure is D/E=1/3. How much Silver can pay out as dividends? Select one a $220,000 b. $230,000 e $200,000 d. $210,000...
1 answers
4. The three displacement vectors in the drawing have magnitudes of A 4.00 m, ее B-...
4. The three displacement vectors in the drawing have magnitudes of A 4.00 m, ее B- 3.00 m, and C- 2.00 m Find the (a) magnitude and (b) directional angle of the resultant vector by means of the component method. ty 20.0° 60.0° tX...
1 answers
Predict the Product. (5 pts each; 20 pts TOTAL) Provide the stable organic product(s) that would...
Predict the Product. (5 pts each; 20 pts TOTAL) Provide the stable organic product(s) that would result for each reaction below. Label the product formed in highest yield as “major" and include stereochemistry whenever appropriate. H20 (1 equiv.) HCI (catalytic) OH THF 65°C MgBr (2 equ...
1 answers
Please help with BOTH of the following questions for a thumbs up! Thanks! 8. + -/1...
Please help with BOTH of the following questions for a thumbs up! Thanks! 8. + -/1 points SerPSE 10 32.8.OP.021. My Notes + Ask Your Teach A step-down transformer is used for recharging the batteries of portable electronic devices. The turns ratio N/N, for a particular transformer used in a DVD pla...
1 answers
Andretti Company has a single product called a Dak. The company normally produces and sells 87,000...
Andretti Company has a single product called a Dak. The company normally produces and sells 87,000 Daks each year at a selling price of $56 per unit. The company’s unit costs at this level of activity are given below: Direct materials $ 8.50 Direct labor 11.00 Variable manufact...
1 answers
1. LB Moore has 43,000 shares of common stock outstanding. The firm just paid an annual...
1. LB Moore has 43,000 shares of common stock outstanding. The firm just paid an annual dividend of $3.00 per share on this stock. The market rate of return is 21.00 percent. What will one share of this stock be worth one year from now if the dividends grow by 6.60 percent annually? $22.21 $23.67 $2...

-- 0.010283--