110 Auditing an accounting system. In auditing a firm’s financial statements, an auditor is required to assess the operational effectiveness of the accounting system. In performing the assessment, the auditor frequently relies on a random sample of actual transactions (Stickney and Weil, Financial Accounting: An Introduction to Concepts, Methods, and Uses , 2002). A particular firm has 5,382 customer accounts that are numbered from 0001 to 5382.

a. One account is to be selected at random for audit.

What is the probability that account number 3,241 is selected?

b. Draw a random sample of 10 accounts and explain in detail the procedure you used.

c. Refer to part b . The following are two possible random samples of size 10:

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5011 2663 0082 1126 Sample Number 1 0963 0008 Sample Number 2 0772 3415 0026 4189 0001 0003 0005 0007 0009 0002 0004 0006 0008 0010 Is one more likely to be selected than the other? Explain.