13-36 (Mt. Hood FurniturePPS sampling problem) You have been assigned the task of testing the accuracy of the final inventory compilation for Mt. Hood Furniture. You may assume that you have separately observed the inventory and that you are satisfied that the inventory was accurately counted. However, you need to test that quantities were accurately transcribed to the final accumulation and valuation of inventory and that the inventory is correctly priced and accumulated. The table beginning on page 617 presents the audited values associated with Mt. Hoods pricing and accumulation of all items in inventory. The book values will be given to you by your professor. You may assume that you have performed the tests to determine the proper pricing for raw materials, work in process, and finished goods. The student should understand that the auditor will normally obtain this information only for the items included in the sample. Required 1. Identify the audit objectives that are accomplished by this test. 2. Determine sample size based on the following audit judgments. a. Tolerable misstatement is assessed at $325,000. b. The risk of incorrect acceptance is assessed at 37 percent. c. Anticipated misstatement is assessed at $100,000. 3. Develop a scenario that is consistent with setting the risk of incorrect acceptance at 37 percent. 4. Select a PPS sample of the above inventory population using the sample size determined in (2) above. 5. Explain the tests that you would perform to test the correctness of pricing of raw materials, work in progress, and finished goods. (The student may wish to consult Chapter 16.) 6. Determine the amount of projected population misstatement based on your sample. 7. Considering your quantitative and qualitative results, develop a statistical conclusion and an audit conclusion based on your sample. STOCK AUDITED AUDITED AUDITED STOCK AUDITED AUDITED AUDITED NUMBER QUANTITY PRICE AMOUNT NUMBER QUANTITY PRICE AMOUNT Finished Goods 10001 13 $ 250.00 $ 3,250.00 10201 11 $ 250.00 $ 2,750.00 10002 12 $ 275.00 $ 3,300.00 10202 11 $ 275.00 $3,025.00 10003 15 $ 270.00 $ 4,050.00 10203 16 $ 270.00 $ 4,320.00 10004 11 $ 200.00 $ 2,200.00 10204 11 $ 200.00 $ 2,200.00 10005 10 $ 400.00 $ 4,000.00 10205 9 $ 400.00 $ 3,600.00 10006 10 $ 410.00 $ 4,100.00 10206 12 $ 410.00 $ 4,920.00 10007 8 $ 400.00 $ 3,200.00 10207 10 $ 400.00 $ 4,000.00 10008 9 $ 410.00 $ 3,690.00 10208 9 $ 410.00 $ 3,690.00 10009 20 $ 750.00 $ 15,000.00 10209 16 $ 750.00 $ 12,000.00 10010 9 $ 750.00 $ 6,750.00 10210 13 $ 750.00 $ 9,750.00 10011 12 $ 800.00 $ 9,600.00 10211 14 $ 800.00 $ 11,200.00 10012 14 $ 800.00 $ 11,200.00 10212 8 $ 800.00 $ 6,400.00 10013 8 $ 750.00 $ 6,000.00 10213 2 $ 745.00 $ 1,490.00 10014 11 $ 750.00 $ 8,250.00 10214 4 $ 750.00 $ 3,000.00 10015 6 $ 800.00 $ 4,800.00 10215 5 $ 800.00 $ 4,000.00 10016 10 $ 800.00 $ 8,000.00 10216 7 $ 800.00 $ 5,600.00 10017 3 $ 900.00 $ 2,700.00 10217 8 $ 900.00 $ 7,200.00 10018 11 $ 900.00 $ 9,900.00 10218 9 $ 900.00 $ 8,100.00 10019 5 $ 1,000.00 $ 5,000.00 10219 11 $ 1,000.00 $ 11,000.00 10020 8 $ 1,000.00 $ 8,000.00 10220 5 $ 1,000.00 $ 5,000.00 10021 4 $ 1,250.00 $ 5,000.00 10221 4 $ 1,250.00 $ 5,000.00 10022 4 $ 1,250.00 $ 5,000.00 10222 6 $ 1,250.00 $ 7,500.00 CHAPTER 13 / AUDIT SAMPLING [617] 10023 2 $ 1,250.00 $ 2,500.00 10223 7 $ 1,250.00 $ 8,750.00 10024 5 $ 1,275.00 $ 6,375.00 10224 5 $ 1,275.00 $ 6,375.00 10025 2 $ 1,300.00 $ 2,600.00 10225 4 $ 1,300.00 $ 5,200.00 10101 8 $ 250.00 $ 2,000.00 10301 15 $ 250.00 $ 3,750.00 10102 8 $ 275.00 $ 2,200.00 10302 16 $ 275.00 $4,400.00 10103 12 $ 270.00 $ 3,240.00 10303 18 $ 270.00 $ 4,860.00 10104 15 $ 200.00 $ 3,000.00 10304 11 $ 200.00 $ 2,200.00 10105 12 $ 400.00 $ 4,800.00 10305 13 $ 400.00 $ 5,200.00 10106 12 $ 410.00 $ 4,920.00 10306 13 $ 410.00 $ 5,330.00 10107 11 $ 400.00 $ 4,400.00 10307 17 $ 400.00 $ 6,800.00 10108 9 $ 410.00 $ 3,690.00 10308 14 $ 410.00 $ 5,740.00 10109 10 $ 750.00 $ 7,500.00 10309 22 $ 750.00 $ 16,500.00 10110 8 $ 750.00 $ 6,000.00 10310 16 $ 750.00 $ 12,000.00 10111 8 $ 800.00 $ 6,400.00 10311 12 $ 800.00 $ 9,600.00 10112 8 $ 800.00 $ 6,400.00 10312 14 $ 800.00 $ 11,200.00 10113 6 $ 750.00 $ 4,500.00 10313 18 $ 750.00 $ 13,500.00 10114 12 $ 750.00 $ 9,000.00 10314 17 $ 750.00 $ 12,750.00 10115 8 $ 800.00 $ 6,400.00 10315 12 $ 800.00 $ 9,600.00 10116 9 $ 800.00 $ 7,200.00 10316 14 $ 800.00 $ 11,200.00 10117 5 $ 900.00 $ 4,500.00 10317 14 $ 900.00 $ 12,600.00 10118 7 $ 900.00 $ 6,300.00 10318 17 $ 900.00 $ 15,300.00 10119 4 $ 1,000.00 $ 4,000.00 10319 10 $ 1,000.00 $ 10,000.00 10120 4 $ 1,000.00 $ 4,000.00 10320 12 $ 1,000.00 $ 12,000.00 10121 7 $ 1,250.00 $ 8,750.00 10321 19 $ 1,250.00 $ 23,750.00 10122 6 $ 1,250.00 $ 7,500.00 10322 15 $ 1,250.00 $ 18,750.00 10123 4 $ 1,250.00 $ 5,000.00 10323 13 $ 1,250.00 $ 16,250.00 10124 7 $ 1,275.00 $ 8,925.00 10324 12 $ 1,275.00 $ 15,300.00 10125 5 $ 1,300.00 $ 6,500.00 10325 15 $ 1,300.00 $ 19,500.00 10401 15 $250.00 $3,750.00 10601 13 $250.00 $3,250.00 10402 14 $275.00 $3,850.00 10602 12 $275.00 $3,300.00 10403 13 $270.00 $3,510.00 10603 17 $270.00 $4,590.00 10404 9 $200.00 $1,800.00 10604 11 $200.00 $2,200.00 10405 12 $400.00 $4,800.00 10605 10 $400.00 $4,000.00 10406 9 $410.00 $3,690.00 10606 15 $410.00 $6,150.00 10407 15 $400.00 $6,000.00 10607 12 $400.00 $4,800.00 10408 12 $410.00 $4,920.00 10608 12 $410.00 $4,920.00 10409 17 $750.00 $12,750.00 10609 6 $750.00 $4,500.00 10410 12 $750.00 $9,000.00 10610 4 $750.00 $3,000.00 10411 12 $800.00 $9,600.00 10611 9 $800.00 $7,200.00 10412 12 $800.00 $9,600.00 10612 9 $800.00 $7,200.00 10413 17 $750.00 $12,750.00 10613 8 $750.00 $6,000.00 10414 15 $750.00 $11,250.00 10614 2 $750.00 $1,500.00 10415 11 $800.00 $8,800.00 10615 9 $800.00 $7,200.00 10416 13 $800.00 $10,400.00 10616 9 $800.00 $7,200.00 10417 12 $900.00 $10,800.00 10617 6 $900.00 $5,400.00 [618] PART 3 / AUDIT TESTING METHODOLOGY STOCK AUDITED AUDITED AUDITED STOCK AUDITED AUDITED AUDITED NUMBER QUANTITY PRICE AMOUNT NUMBER QUANTITY PRICE AMOUNT 10418 15 $900.00 $13,500.00 10618 7 $900.00 $6,300.00 10419 9 $1,000.00 $9,000.00 10619 4 $1,000.00 $4,000.00 10420 11 $1,000.00 $11,000.00 10620 6 $1,000.00 $6,000.00 10421 16 $1,250.00 $20,000.00 10621 4 $1,250.00 $5,000.00 10422 15 $1,250.00 $18,750.00 10622 4 $1,250.00 $5,000.00 10423 12 $1,250.00 $15,000.00 10623 4 $1,250.00 $5,000.00 10424 10 $1,275.00 $12,750.00 10624 5 $1,275.00 $6,375.00 10425 12 $1,300.00 $15,600.00 10625 4 $1,300.00 $5,200.00 10501 8 $250.00 $2,000.00 10701 6 $400.00 $2,400.00 10502 6 $275.00 $1,650.00 10702 5 $450.00 $2,250.00 10503 9 $270.00 $2,430.00 10703 6 $470.00 $2,820.00 10504 11 $200.00 $2,200.00 10704 6 $470.00 $2,820.00 10505 12 $400.00 $4,800.00 10705 4 $600.00 $2,400.00 10506 11 $410.00 $4,510.00 10706 8 $610.00 $4,880.00 10507 7 $400.00 $2,800.00 10707 2 $600.00 $1,200.00 10508 9 $410.00 $3,690.00 10708 6 $610.00 $3,660.00 10509 14 $750.00 $10,500.00 10709 8 $800.00 $6,400.00 10510 16 $750.00 $12,000.00 10710 8 $800.00 $6,400.00 10511 14 $800.00 $11,200.00 10711 2 $900.00 $1,800.00 10512 12 $800.00 $9,600.00 10712 8 $900.00 $7,200.00 10513 18 $750.00 $13,500.00 10713 6 $950.00 $5,700.00 10514 19 $750.00 $14,250.00 10714 5 $950.00 $4,750.00 10515 7 $800.00 $5,600.00 10715 10 $950.00 $9,500.00 10516 7 $800.00 $5,600.00 10716 5 $975.00 $4,875.00 10517 4 $900.00 $3,600.00 10717 9 $975.00 $8,775.00 10518 4 $900.00 $3,600.00 10718 7 $1,050.00 $7,350.00 10519 8 $1,000.00 $8,000.00 10719 2 $1,050.00 $2,100.00 10520 8 $1,000.00 $8,000.00 10720 9 $1,050.00 $9,450.00 10521 4 $1,250.00 $5,000.00 10721 4 $1,175.00 $4,700.00 10522 4 $1,250.00 $5,000.00 10722 5 $1,175.00 $5,875.00 10523 4 $1,250.00 $5,000.00 10723 6 $1,300.00 $7,800.00 10524 5 $1,275.00 $6,375.00 10724 2 $1,405.00 $2,810.00 10525 4 $1,300.00 $5,200.00 10725 3 $1,500.00 $4,500.00 10801 5 $400.00 $2,000.00 11001 13 $400.00 $5,200.00 10802 5 $450.00 $2,250.00 11002 14 $450.00 $6,300.00 10803 6 $470.00 $2,820.00 11003 18 $470.00 $8,460.00 10804 7 $470.00 $3,290.00 11004 19 $470.00 $8,930.00 10805 8 $600.00 $4,800.00 11005 25 $600.00 $15,000.00 10806 3 $610.00 $1,830.00 11006 23 $610.00 $14,030.00 10807 4 $600.00 $2,400.00 11007 17 $600.00 $10,200.00 10808 8 $610.00 $4,880.00 11008 16 $610.00 $9,760.00 10809 6 $800.00 $4,800.00 11009 14 $800.00 $11,200.00 10810 3 $800.00 $2,400.00 11010 19 $800.00 $15,200.00 10811 9 $900.00 $8,100.00 11011 15 $900.00 $13,500.00 10812 8 $900.00 $7,200.00 11012 14 $900.00 $12,600.00 CHAPTER 13 / AUDIT SAMPLING [619] STOCK AUDITED AUDITED AUDITED STOCK AUDITED AUDITED AUDITED NUMBER QUANTITY PRICE AMOUNT NUMBER QUANTITY PRICE AMOUNT 10813 4 $950.00 $3,800.00 11013 19 $950.00 $18,050.00 10814 6 $950.00 $5,700.00 11014 22 $950.00 $20,900.00 10815 4 $950.00 $3,800.00 11015 24 $950.00 $22,800.00 10816 5 $975.00 $4,875.00 11016 22 $975.00 $21,450.00 10817 8 $975.00 $7,800.00 11017 17 $975.00 $16,575.00 10818 8 $1,050.00 $8,400.00 11018 15 $1,050.00 $15,750.00 10819 6 $1,050.00 $6,300.00 11019 10 $1,050.00 $10,500.00 10820 6 $1,050.00 $6,300.00 11020 13 $1,050.00 $13,650.00 10821 7 $1,175.00 $8,225.00 11021 10 $1,175.00 $11,750.00 10822 5 $1,175.00 $5,875.00 11022 14 $1,175.00 $16,450.00 10823 4 $1,300.00 $5,200.00 11023 18 $1,300.00 $23,400.00 10824 8 $1,400.00 $11,200.00 11024 18 $1,400.00 $25,200.00 10825 5 $1,500.00 $7,500.00 11025 11 $1,500.00 $16,500.00 10901 9 $400.00 $3,600.00 11201 4 $400.00 $1,600.00 10902 9 $450.00 $4,050.00 11202 3 $450.00 $1,350.00 10903 11 $470.00 $5,170.00 11203 2 $470.00 $940.00 10904 11 $470.00 $5,170.00 11204 3 $470.00 $1,410.00 10905 7 $600.00 $4,200.00 11205 4 $600.00 $2,400.00 10906 11 $610.00 $6,710.00 11206 5 $610.00 $3,050.00 10907 8 $600.00 $4,800.00 11207 7 $600.00 $4,200.00 10908 12 $610.00 $7,320.00 11208 9 $610.00 $5,490.00 10909 7 $800.00 $5,600.00 11209 8 $800.00 $6,400.00 10910 7 $800.00 $5,600.00 11210 10 $800.00 $8,000.00 10911 4 $900.00 $3,600.00 11211 6 $900.00 $5,400.00 10912 9 $900.00 $8,100.00 11212 5 $900.00 $4,500.00 10913 10 $950.00 $9,500.00 11213 8 $950.00 $7,600.00 10914 11 $950.00 $10,450.00 11214 3 $950.00 $2,850.00 10915 13 $950.00 $12,350.00 11215 8 $950.00 $7,600.00 10916 9 $975.00 $8,775.00 11216 2 $975.00 $1,950.00 10917 12 $975.00 $11,700.00 11217 7 $975.00 $6,825.00 10918 10 $1,050.00 $10,500.00 11218 5 $1,050.00 $5,250.00 10919 6 $1,050.00 $6,300.00 11219 5 $1,050.00 $5,250.00 10920 10 $1,050.00 $10,500.00 11220 5 $1,050.00 $5,250.00 10921 9 $1,175.00 $10,575.00 11221 6 $1,175.00 $7,050.00 10922 12 $1,175.00 $14,100.00 11222 5 $1,175.00 $5,875.00 10923 8 $1,300.00 $10,400.00 11223 4 $1,300.00 $5,200.00 10924 8 $1,400.00 $11,200.00 11224 5 $1,400.00 $7,000.00 10925 6 $1,500.00 $9,000.00 11225 1 $1,500.00 $1,500.00 11301 14 $400.00 $5,600.00 11501 11 $800.00 $8,800.00 11302 16 $450.00 $7,200.00 11502 18 $800.00 $14,400.00 11303 17 $470.00 $7,990.00 11503 12 $875.00 $10,500.00 11304 18 $470.00 $8,460.00 11504 14 $875.00 $12,250.00 11305 17 $600.00 $10,200.00 11505 11 $900.00 $9,900.00 11306 18 $610.00 $10,980.00 11506 14 $900.00 $12,600.00 11307 13 $600.00 $7,800.00 11507 12 $900.00 $10,800.00 [620] PART 3 / AUDIT TESTING METHODOLOGY STOCK AUDITED AUDITED AUDITED STOCK AUDITED AUDITED AUDITED NUMBER QUANTITY PRICE AMOUNT NUMBER QUANTITY PRICE AMOUNT 11308 14 $610.00 $8,540.00 11508 13 $900.00 $11,700.00 11309 12 $800.00 $9,600.00 11509 15 $1,100.00 $16,500.00 11310 18 $800.00 $14,400.00 11510 11 $1,100.00 $12,100.00 11311 11 $900.00 $9,900.00 11511 14 $1,100.00 $15,400.00 11312 13 $900.00 $11,700.00 11512 13 $1,100.00 $14,300.00 11313 13 $950.00 $12,350.00 11513 10 $1,100.00 $11,000.00 11314 14 $950.00 $13,300.00 11514 15 $1,250.00 $18,750.00 11315 11 $950.00 $10,450.00 11515 10 $1,250.00 $12,500.00 11316 12 $975.00 $11,700.00 11516 14 $1,250.00 $17,500.00 11317 15 $975.00 $14,625.00 11517 11 $1,250.00 $13,750.00 11318 15 $1,050.00 $15,750.00 11518 13 $1,250.00 $16,250.00 11319 11 $1,050.00 $11,550.00 11519 10 $1,400.00 $14,000.00 11320 12 $1,050.00 $12,600.00 11520 12 $1,400.00 $16,800.00 11321 10 $1,175.00 $11,750.00 11521 10 $2,000.00 $20,000.00 11322 9 $1,175.00 $10,575.00 11522 8 $2,000.00 $16,000.00 11323 9 $1,300.00 $11,700.00 11523 7 $3,250.00 $22,750.00 11324 10 $1,400.00 $14,000.00 11524 7 $3,250.00 $22,750.00 11325 5 $1,500.00 $7,500.00 11525 8 $2,500.00 $20,000.00 11401 5 $800.00 $4,000.00 11601 6 $800.00 $4,800.00 11402 8 $800.00 $6,400.00 11602 6 $800.00 $4,800.00 11403 3 $875.00 $2,625.00 11603 8 $875.00 $7,000.00 11404 4 $875.00 $3,500.00 11604 7 $875.00 $6,125.00 11405 8 $900.00 $7,200.00 11605 11 $900.00 $9,900.00 11406 10 $900.00 $9,000.00 11606 8 $900.00 $7,200.00 11407 6 $900.00 $5,400.00 11607 5 $900.00 $4,500.00 11408 7 $900.00 $6,300.00 11608 7 $900.00 $6,300.00 11409 5 $1,100.00 $5,500.00 11609 6 $1,100.00 $6,600.00 11410 8 $1,100.00 $8,800.00 11610 9 $1,100.00 $9,900.00 11411 9 $1,100.00 $9,900.00 11611 7 $1,100.00 $7,700.00 11412 7 $1,100.00 $7,700.00 11612 3 $1,100.00 $3,300.00 11413 11 $1,100.00 $12,100.00 11613 4 $1,100.00 $4,400.00 11414 15 $1,250.00 $18,750.00 11614 10 $1,250.00 $12,500.00 11415 10 $1,250.00 $12,500.00 11615 7 $1,250.00 $8,750.00 11416 9 $1,250.00 $11,250.00 11616 6 $1,250.00 $7,500.00 11417 13 $1,250.00 $16,250.00 11617 11 $1,250.00 $13,750.00 11418 11 $1,250.00 $13,750.00 11618 9 $1,250.00 $11,250.00 11419 9 $1,400.00 $12,600.00 11619 13 $1,400.00 $18,200.00 11420 5 $1,400.00 $7,000.00 11620 10 $1,400.00 $14,000.00 11421 5 $2,000.00 $10,000.00 11621 7 $2,000.00 $14,000.00 11422 7 $2,000.00 $14,000.00 11622 9 $2,000.00 $18,000.00 11423 6 $3,250.00 $19,500.00 11623 7 $3,250.00 $22,750.00 11424 5 $3,250.00 $16,250.00 11624 5 $3,250.00 $16,250.00 11425 6 $2,500.00 $15,000.00 11625 4 $2,500.00 $10,000.00 11701 3 $800.00 $2,400.00 11901 7 $600.00 $4,200.00 11702 9 $800.00 $7,200.00 11902 6 $600.00 $3,600.00 CHAPTER 13 / AUDIT SAMPLING [621] STOCK AUDITED AUDITED AUDITED STOCK AUDITED AUDITED AUDITED NUMBER QUANTITY PRICE AMOUNT NUMBER QUANTITY PRICE AMOUNT 11703 6 $875.00 $5,250.00 11903 10 $700.00 $7,000.00 11704 6 $875.00 $5,250.00 11904 6 $700.00 $4,200.00 11705 10 $1,100.00 $11,000.00 11905 7 $900.00 $6,300.00 11706 12 $1,100.00 $13,200.00 11906 5 $900.00 $4,500.00 11707 8 $1,100.00 $8,800.00 11907 4 $1,525.00 $6,100.00 11708 7 $1,100.00 $7,700.00 11908 7 $1,525.00 $10,675.00 11709 7 $1,500.00 $10,500.00 11909 6 $1,525.00 $9,150.00 11710 7 $1,500.00 $10,500.00 11910 5 $1,525.00 $7,625.00 11711 8 $1,600.00 $12,800.00 11911 6 $1,525.00 $9,150.00 11712 6 $1,600.00 $9,600.00 11912 5 $1,525.00 $7,625.00 11713 5 $1,450.00 $7,250.00 11913 6 $1,525.00 $9,150.00 11714 4 $1,450.00 $5,800.00 11914 8 $1,525.00 $12,200.00 11715 3 $1,700.00 $5,100.00 11915 6 $2,475.00 $14,850.00 11716 5 $1,700.00 $8,500.00 11916 8 $2,475.00 $19,800.00 11717 2 $1,800.00 $3,600.00 11917 5 $2,475.00 $12,375.00 11718 4 $1,800.00 $7,200.00 11918 8 $2,475.00 $19,800.00 11719 6 $1,400.00 $8,400.00 11919 6 $2,475.00 $14,850.00 11720 4 $1,400.00 $5,600.00 11920 8 $2,475.00 $19,800.00 11721 4 $2,000.00 $8,000.00 11921 6 $2,475.00 $14,850.00 11722 5 $2,000.00 $10,000.00 11922 7 $2,475.00 $17,325.00 11723 5 $3,250.00 $16,250.00 11923 4 $2,500.00 $10,000.00 11724 6 $3,250.00 $19,500.00 11924 5 $2,500.00 $12,500.00 11725 1 $5,500.00 $5,500.00 11925 5 $3,500.00 $17,500.00 11801 6 $600.00 $3,600.00 12001 9 $600.00 $5,400.00 11802 5 $600.00 $3,000.00 12002 7 $600.00 $4,200.00 11803 11 $700.00 $7,700.00 12003 14 $700.00 $9,800.00 11804 5 $700.00 $3,500.00 12004 16 $700.00 $11,200.00 11805 8 $900.00 $7,200.00 12005 10 $900.00 $9,000.00 11806 7 $900.00 $6,300.00 12006 10 $900.00 $9,000.00 11807 6 $1,525.00 $9,150.00 12007 8 $1,525.00 $12,200.00 11808 7 $1,525.00 $10,675.00 12008 9 $1,525.00 $13,725.00 11809 3 $1,525.00 $4,575.00 12009 3 $1,525.00 $4,575.00 11810 2 $1,525.00 $3,050.00 12010 6 $1,525.00 $9,150.00 11811 5 $1,525.00 $7,625.00 12011 7 $1,525.00 $10,675.00 11812 8 $1,525.00 $12,200.00 12012 9 $1,525.00 $13,725.00 11813 7 $1,525.00 $10,675.00 12013 5 $1,525.00 $7,625.00 11814 4 $1,525.00 $6,100.00 12014 7 $1,525.00 $10,675.00 11815 8 $2,475.00 $19,800.00 12015 11 $2,475.00 $27,225.00 11816 9 $2,475.00 $22,275.00 12016 8 $2,475.00 $19,800.00 11817 6 $2,475.00 $14,850.00 12017 8 $2,475.00 $19,800.00 11818 4 $2,475.00 $9,900.00 12018 6 $2,475.00 $14,850.00 11819 4 $2,475.00 $9,900.00 12019 8 $2,475.00 $19,800.00 11820 5 $2,475.00 $12,375.00 12020 5 $2,475.00 $12,375.00 11821 7 $2,475.00 $17,325.00 12021 5 $2,475.00 $12,375.00 11822 4 $2,475.00 $9,900.00 12022 9 $2,475.00 $22,275.00 [622] PART 3 / AUDIT TESTING METHODOLOGY STOCK AUDITED AUDITED AUDITED STOCK AUDITED AUDITED AUDITED NUMBER QUANTITY PRICE AMOUNT NUMBER QUANTITY PRICE AMOUNT 11823 8 $2,500.00 $20,000.00 12023 7 $2,500.00 $17,500.00 11824 3 $2,500.00 $7,500.00 12024 5 $2,500.00 $12,500.00 11825 2 $3,500.00 $7,000.00 12025 5 $3,500.00 $17,500.00 Raw Materials Work in Progress 20001 2056 $12.80 $26,316.80 10005 10 $350.00 $3,500.00 20002 5090 $15.20 $77,368.00 10006 10 $350.00 $3,500.00 20003 6344 $10.50 $66,612.00 10007 10 $300.00 $3,000.00 20004 10052 $12.95 $130,173.40 10008 10 $310.00 $3,100.00 20005 9900 $10.95 $108,405.00 11201 10 $350.00 $3,500.00 20006 1233 $43.00 $53,019.00 11202 10 $350.00 $3,500.00 20007 1145 $43.00 $49,235.00 11203 10 $370.00 $3,700.00 20008 1130 $43.00 $48,590.00 11204 10 $370.00 $3,700.00 20009 1030 $43.00 $44,290.00 11205 10 $450.00 $4,500.00 20010 1288 $43.00 $55,384.00 11206 10 $460.00 $4,600.00 20011 10066 $5.85 $58,886.10 11207 10 $450.00 $4,500.00 20012 18300 $5.85 $107,055.00 11208 10 $460.00 $4,600.00 20013 18587 $5.85 $108,733.95 11209 10 $600.00 $6,000.00 20014 19525 $5.85 $114,221.25 11210 10 $600.00 $6,000.00 20015 13222 $5.85 $77,348.70 11211 10 $700.00 $7,000.00 20016 3606 $25.30 $91,231.80 11212 10 $700.00 $7,000.00 20017 4723 $25.30 $119,491.90 11213 10 $700.00 $7,000.00 20018 1434 $25.30 $36,280.20 11214 10 $700.00 $7,000.00 20019 6782 $25.30 $171,584.60 11215 10 $700.00 $7,000.00 20020 2644 $25.30 $66,893.20 11216 10 $700.00 $7,000.00 20021 4833 $27.30 $131,940.90 11217 10 $700.00 $7,000.00 20022 4521 $27.30 $123,423.30 11218 10 $825.00 $8,250.00 20023 3640 $27.30 $99,372.00 11219 10 $825.00 $8,250.00 20024 5703 $27.30 $155,691.90 11220 10 $825.00 $8,250.00 11221 10 $875.00 $8,750.00 Small Tools Inventory $37,989.00 11222 10 $875.00 $8,750.00 11223 10 $900.00 $9,000.00 11224 5 $1,000.00 $5,000.00 11225