hi ...could you please solve this Q4-iv
base on the 1st pic information solve the next ques plz ...
Audit Sampling Case Study. AirBNB CO Audit Sampling Case Study Ait BNB.CO. You are the experienced assistant auditor for the audit of Technology Inc. (the Company whose audit is subject to the standards of the AICPA Your engagement team has identified risk of material misstatement related to the existence, valuation and allocation, and nights and obligations assertions of accounts receivable, specifically the risks of material misstatement that the client has recorded in sales and accounts receivable for sales and shipments that are not valid or are recorded at the incorrect amount. The total balance of accounts receivables is $1.118.517 rounded to $1.119.000 Your held senior has assigned you to test the accounts receivable balance by sampling and confirming balances with indidual customers, which is a common audit test to address the risk of material misstatement As part of your risk assessment procedures you obtained an understanding of the Company counting policy, processes and controls regarding the accounts receivable balance by performing procedures (including inquiries of management and process owners) and walkthroughs of the processes related to accounts receivable. As a result of these procedures you understand that the accounts receivables balance in relatively homogeneous and consists of a high volume of low-collection You decide to use data analytics to obtain fact based evidence and to corroborate your understanding of the accounts recevables balance on the basis of your analysis you identified one statistical out of 5300K while the remaining balance agregated to $800K which is made up al approximately homogeneous transactions Upon further inquiries about the $300 ansaction aboveyou determined that it is a related party transaction On the base of your analysis of the accounts receivable balance you define the customer balance as the camping unt you determine that any bwances groter than pedomance mayor of S250K should be selected for testing and therefore select the $300K elated artytracto de election you the determine that you woulde PPS sampling to the remaining population The other relevant factors are as follows Pedomance materialy Tolerable statement is $268 usand Clearly trivial threshold De Moms M 512.000 The population to exclude the sand en 500 theme so face material The inherent levels warmined to thigh You werelying on the coming sesso.com dhore Control Remed in below Combined Risk of hot and CAKAR of Marl Misant webende mode You detether wit wito delect a warm The contre le copulation Shots Q4-iv. Calculate the Audited Value using the Ration & Difference Estimation Methods -Look to the "Case Facts" Tab & Q4-i above for information you need for the formulas. -Formulas are included below (scroll down) for convenience. - Number of sampled items is listed aboce in Q4i -Number of items in the population is listed in the "Case Facts" tab. Show all work below. FILL IN THE BOXES HIGHLIGHTED YELLOW WITH YOUR ANSWER ANSWER: Use the tables below to calculate. Recorded Audited amount (based on Balance Strata Bases of Strata extrapolation of confirmation (rounded) results) Ratio Book Value [Audit Value] Method Representative $819,000 Homogeneous Population 2 Hirh Dollar Value Items $300,000 $1,119,000 $0 TOTAL FULL POPULATION Difference 5819,000 $300,000 $1,119,000 Difference Strata Bases of Strata Differenc Recorded Audited amount (based on Balance extrapolation of confirmation (rounded) results) (Book Valuel Audit Valuel $819,000 $819,000 Estimatio n Method Representative Homogeneous Population 2 High Dollar Valve Items TOTAL FULL POPULATION $300.000 $1.119.000 $300,000 $1.119.000 SO 04 Audit Sampling Case Study. AirBNB CO Audit Sampling Case Study Ait BNB.CO. You are the experienced assistant auditor for the audit of Technology Inc. (the Company whose audit is subject to the standards of the AICPA Your engagement team has identified risk of material misstatement related to the existence, valuation and allocation, and nights and obligations assertions of accounts receivable, specifically the risks of material misstatement that the client has recorded in sales and accounts receivable for sales and shipments that are not valid or are recorded at the incorrect amount. The total balance of accounts receivables is $1.118.517 rounded to $1.119.000 Your held senior has assigned you to test the accounts receivable balance by sampling and confirming balances with indidual customers, which is a common audit test to address the risk of material misstatement As part of your risk assessment procedures you obtained an understanding of the Company counting policy, processes and controls regarding the accounts receivable balance by performing procedures (including inquiries of management and process owners) and walkthroughs of the processes related to accounts receivable. As a result of these procedures you understand that the accounts receivables balance in relatively homogeneous and consists of a high volume of low-collection You decide to use data analytics to obtain fact based evidence and to corroborate your understanding of the accounts recevables balance on the basis of your analysis you identified one statistical out of 5300K while the remaining balance agregated to $800K which is made up al approximately homogeneous transactions Upon further inquiries about the $300 ansaction aboveyou determined that it is a related party transaction On the base of your analysis of the accounts receivable balance you define the customer balance as the camping unt you determine that any bwances groter than pedomance mayor of S250K should be selected for testing and therefore select the $300K elated artytracto de election you the determine that you woulde PPS sampling to the remaining population The other relevant factors are as follows Pedomance materialy Tolerable statement is $268 usand Clearly trivial threshold De Moms M 512.000 The population to exclude the sand en 500 theme so face material The inherent levels warmined to thigh You werelying on the coming sesso.com dhore Control Remed in below Combined Risk of hot and CAKAR of Marl Misant webende mode You detether wit wito delect a warm The contre le copulation Shots Q4-iv. Calculate the Audited Value using the Ration & Difference Estimation Methods -Look to the "Case Facts" Tab & Q4-i above for information you need for the formulas. -Formulas are included below (scroll down) for convenience. - Number of sampled items is listed aboce in Q4i -Number of items in the population is listed in the "Case Facts" tab. Show all work below. FILL IN THE BOXES HIGHLIGHTED YELLOW WITH YOUR ANSWER ANSWER: Use the tables below to calculate. Recorded Audited amount (based on Balance Strata Bases of Strata extrapolation of confirmation (rounded) results) Ratio Book Value [Audit Value] Method Representative $819,000 Homogeneous Population 2 Hirh Dollar Value Items $300,000 $1,119,000 $0 TOTAL FULL POPULATION Difference 5819,000 $300,000 $1,119,000 Difference Strata Bases of Strata Differenc Recorded Audited amount (based on Balance extrapolation of confirmation (rounded) results) (Book Valuel Audit Valuel $819,000 $819,000 Estimatio n Method Representative Homogeneous Population 2 High Dollar Valve Items TOTAL FULL POPULATION $300.000 $1.119.000 $300,000 $1.119.000 SO 04
