1. You have been asked to perform substantive tests of details on the occurrence assertions for sales revenue. You select a sample of recorded sales and vouch them to the appropriate underlying documents to substantiate that the sale occurred. Your audit team has determined a tolerable misstatement for this audit procedure to be $5.5M.

Account Balance: 79,310,528

Total Transactions in Population: 9,006

Sample Size ($): 6,061,961

Sample Size (Transactions): 704

Cumulative Misstatements in the Sample: 403,950

Given this information from your team's audit procedures, what would be your estimate for the total misstatement in the population using the Average Error per Item method to project your results to the overall population? (Round your answer to the nearest whole dollar.)

2. You have been asked to perform substantive tests of details on the occurrence assertions for sales revenue. You select a sample of recorded sales and vouch them to the appropriate underlying documents to substantiate that the sale occurred. Your audit team has determined a tolerable misstatement for this audit procedure to be $4.6M.

Account Balance: 83,362,884

Total Transactions in Population: 28,669

Sample Size ($): 9,115,642

Sample Size (Transactions): 2,190

Cumulative Misstatements in the Sample: 466,433

Given this information from your team's audit procedures, what would be your estimate for the total misstatement in the population using the Sample Deviation Rate method to project your results to the overall population? (Round your answer to the nearest whole dollar.)