In the audit of Price Seed Company for the year ended September 30, the auditor set a tolerable misstatement pf $50,000 at an ARIA of 10%. A PPS sample of 100 was selected from an accounts receivable population that had a recorded balance of $1,975,000. The following table shows the difference uncovered in the confirmation process:

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Accounts receivable per records---------------accounts receivable per confirmation------------follow-up comments

1) $2,728----------------------------------------------$2,498---------------------------------------------------Pricing error on two invoices

2)$5,125-----------------------------------------------$ 0-------------------------------------------------------customer mailed check

3)$3,890-----------------------------------------------$1,190--------------------------------------------------merchandise returned 9/30 and counted in inventory, credit was issued 10/6

4)$815-------------------------------------------------$785----------------------------------------------------footing error on an invoice

5)$548---------------------------------------------------$0------------------------------------------------------goods were shipped 9/28, customer received goods on 10/2, sale recorded 9/28

6)$3,215-----------------------------------------------$3,190--------------------------------------------------pricing error on a credit memorandum

7)$1,540------------------------------------------------$0-------------------------------------------------------goods were shipped on 9/29, customer received goods 10/3, sale was recorded on 9/30

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A) Calculate the upper misstatement bound on the basis of the client misstatements in the sample.