An auditor is determining the appropriate sample size for testing inventory valuation using MUS. The popula¬ tion has 2,620 items valued at \($12,625,000\). The tolerable mis¬ statement for both understatements and overstatements is \($500,000\) at a 10 percent ARIA. No misstatements are expected in the population. Calculate the preliminary sam¬ ple size using a 100 percent average misstatement assump¬ tion.