Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The auditor for a large corporation routinely monitors cash disbursements. As part of this process, the auditor examines check request forms to determine whether they

The auditor for a large corporation routinely monitors cash disbursements. As part of this process, the auditor examines check request forms to determine whether they have been properly approved. Improper approval can occur in several ways. For instance, the check may have no approval, the check request might be missing, the approval might be written by an unauthorized person, or the dollar limit of the authorizing person might be exceeded. Suppose that the auditor selects a random sample of 625 checks that have been approved in the last month. The auditor selected a random sample of 625 checks and found that 22 were not properly approved. Conduct the appropriate hypothesis test to determine if the sample provides sufficient statistical evidence to conclude that the rate of improper approvals is less than 5 percent. Round final answer to four decimals.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Finite Mathematics

Authors: Stefan Waner, Jerry Lee Ford Jr, Waner/Costenoble, Steven Costenoble

5th Edition

1111789304, 9781111789305

More Books

Students also viewed these Mathematics questions