The 4,000 Accounts Receivable of GHI Company Have a Total

Multiple Choice

The 4,000 accounts receivable of GHI Company have a total book value of $60,000.Bob Smith,CPA,has selected and audited a sample of 100 accounts with a total book value of $1,600.Using the mean-per-unit estimation technique,Smith has properly estimated a projected misstatement of a $8,000 overstatement for the entire population.The audited value of Smith's sample is:

A) $1,300
B) $1,400
C) $1,600
D) $1,800