I am totally lost as to where to start on this assignment and its due in two hours any help would be appreciated. Its the integrated audit practice case option b from the 6th edition.

Oceanview Marine Company Calculation of Sample Size: Monetary Unit Sampling December 31, 2015 21-22 Audit Area: Accounts receivable Population: Book value of accounts receivable less than $40,000 = $596,566 Sampling Unit: Dollars in accounts receivable at 12/31/2015 Decision and Facts for Determining Sample Size: Book value of population = Acceptable risk of incorrect acceptance = 596,566 20% Tolerable misstatement = 40,000 Estimated misstatement in the population = 4,000 Ratio of expected to tolerable Misstatement = Confidence factor (from table below) = Ratio of expected to tolerable misstatement 0.00 0.05 0.10 0.20 0.30 5% 3.00 3.31 3.68 4.63 6.00 ARIA 10% 2.31 2.52 2.77 3.41 4.33 20% 1.61 1.74 1.89 2.26 2.77 30% 1.21 1.29 1.39 1.62 1.93 Calculation of Sample Size: (a) Confidence factor = (b) Tolerable misstatement as a percentage of population value = 0.067 Sample size = Current file 3 - tests of balances, completing the audit Oceanview Marine Company Sample Selection: Monetary Unit Sampling December 31, 2015 21-23 Audit Area: Accounts receivable Individually material accounts greater than tolerable misstatement of: 40,000 Customer Name Anthony Underwriters 117,990.00 Various 1 Amount Confirmed 588,421.00 2 3 4 5 6 to 13 Total 706,411.00 Sample below tolerable misstatement: Sampling Interval = Book value of population / Sample Size = (round down to hundreds) Dollar unit 1 8,000 Customer Name James Abbott Amount Confirmed 21,345.00 2 3 4 5 6 to 30 Various Current file 3 - tests of balances, completing the audit Oceanview Marine Company Evaluation of A/R Confirmations: Monetary Unit Sampling December 31, 2015 21-24 Amounts greater than tolerable misstatement or sampling intervalSummary of Confirmation Differences: Customer Name A/R Balance per Client's Records A/R Balance per Customer Amount of Difference Reason(s) for Difference Amount of Client Misstatement, if any Over (Under) 0.00 0.00 0.00 Net misstatement: 0.00 MUS sample items less than tolerable misstatement Summary of Confirmation Differences: Amount Customer Name A/R Balance per Client's Records A/R Balance per Customer Amount of Difference Reason(s) for Difference of client misstatement, if any Over (Under) Tainting (misstatement/ AR balance per client's records) Over (Under) 0.00 #DIV/0! 0.00 #DIV/0! 0.00 #DIV/0! Net misstatement: 0.00 Current file 3 - tests of balances, completing the audit Oceanview Marine Company Evaluation of A/R Confirmations: Monetary Unit Sampling (continued) December 31, 2015 21-25 Calculation of Projected Misstatement: Customer Name Tainting Sampling Interval 0 0 0 0 0 Totals Add basic precision Misstatements - accounts larger than sampling interval Total projected misstatement Upper limit on misstatements Projected Misstatement 0.00 0.00 0.00 0.00 0.00 Incremental Changes in Confidence Factor 1.39 1.28 1.24 1.21 1.18 0.00 0 Projected Mstmt. Plus Incremental Allowance for Sampling Risk 0.00 0.00 0.00 0.00 0.00 0.00 N/A 1.61 0.00 0.00 N/A 0.00 0.00 0.00 Current file 3 - tests of balances, completing the audit Oceanview Marine Company Evaluation of A/R Confirmations: Monetary Unit Sampling (continued) December 31, 2015 21-26 Decision (check one): Accept population as stated. (No adjustment required for account to be fairly stated.) Request client to adjust population. (Account is not fairly stated, but if client corrects misstatements found in sample, account will be acceptable.) Expand audit tests. (Account is not fairly stated, and cannot be made acceptable by correcting misstatements found in sample.) Some other action. Specify: Explain/justify your decision: Conclusion: Calculation of Unadjusted Projected Misstatement: Projected misstatement = 0.00 Less: Adjusting journal entry (net) = Unadjusted projected misstatement = (carry forward to Summary of Possible Misstatements (workpaper 90-1)) Current file 3 - tests of balances, completing the audit Oceanview Marine Company Accounts Receivable Listing December 31, 2015 21-7 BC 2/05/2016 PBC Amounts > $40,000 0-30 days Customer Name Anthony Underwriters Bischoff, John Borst, Robert Devine, Dan Geyer, Robert Hayes, Lisa Kelsey, Martin Laubauch, Ken Smith, Linda Southern Construction Swain, Monte Sykora, Larry Underwood, John Total above $40,000 31-60 days 61-90 days 91-120 days 0.00 117,990.00 0.00 0.00 113,655.00 0.00 155,690.00 0.00 0.00 121,456.00 0.00 0.00 0.00 68,904.00 0.00 45,990.00 0.00 0.00 123,568.00 0.00 0.00 45,076.00 0.00 0.00 47,665.00 0.00 0.00 0.00 0.00 190,890.00 0.00 46,895.00 0.00 0.00 41,567.00 0.00 0.00 0.00 46,770.00 539,445.00 389,011.00 237,660.00 F F 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 F F Total 117,990.00 113,655.00 155,690.00 121,456.00 68,904.00 45,990.00 123,568.00 45,076.00 47,665.00 190,890.00 46,895.00 41,567.00 46,770.00 1,166,116.00 S S S S S S S S S S S S S F, CF 0.00 21,345.00 0.00 0.00 21,345.00 Cumulative Total 21,345.00 Adams, Don Allen, Robert Anderson, Matt Bates, Mary Beatty, Lonnie Benson Realty Binkowski, Alex Capicchioni, Rita Chappelle, Daniel Chiang, Alpha 0.00 432.00 235.67 127.86 21,390.00 113.87 654.00 432.74 0.00 21,345.00 0.00 0.00 134.76 213.00 0.00 0.00 238.31 246.87 24,678.00 0.00 0.00 0.00 125.32 0.00 0.00 0.00 456.71 0.00 0.00 0.00 259.45 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 259.45 432.00 495.75 340.86 21,390.00 113.87 1,349.02 679.61 24,678.00 21,345.00 21,604.45 22,036.45 22,532.20 22,873.06 44,263.06 44,376.93 45,725.95 46,405.56 71,083.56 92,428.56 Coscarelli, Stephen DeLuca, Frank Detzler, Richard Dugar, Amitabh Elder, Robert Elliott, David Erlinger, Eric Escobar, Susan Finney, Robert Franklin, James 0.00 22,458.00 0.00 245.68 476.89 345.76 4,567.00 0.00 0.00 21,367.00 0.00 0.00 0.00 123.65 367.90 247.69 0.00 11,567.00 0.00 0.00 0.00 0.00 0.00 0.00 543.00 0.00 0.00 0.00 0.00 0.00 145.56 0.00 1,145.00 0.00 0.00 0.00 0.00 0.00 22,154.75 0.00 145.56 22,458.00 1,145.00 369.33 1,387.79 593.45 4,567.00 11,567.00 22,154.75 21,367.00 94,191.47 59,162.18 1,125.03 23,704.76 178,183.44 Amounts $40,000 TOTAL ACCTS RECEIVABLE 31-60 days S S S 2,590.48 596,566.00 442,705.22 461,359.22 483,815.22 485,174.76 487,319.76 489,566.23 495,016.17 516,472.17 517,375.19 517,844.45 518,711.45 532,398.45 538,096.45 551,750.45 563,071.45 584,527.45 585,390.70 585,961.52 592,851.52 593,975.52 596,566.00 F, CF 1,166,116.00 1,762,682.00 G/L F, CF 21-1 Tickmark Legend F = Footed without exception. CF = Cross-footed without exception. G/L =Agreed to general ledger without exception. S = Agreed to A/R subsidiary records without exception. Selected all over $40,000. For amounts below $40,000, began with 5th account; selected every 10th account thereafter. Current file 3 - tests of balances, completing the audit