You Are Auditing Accounts Receivable for a Small Company and Have

Essay

You are auditing accounts receivable for a small company and have found the following results:
$$\begin{array} { | c | c | c | c | } \hline \text { Number and Size of Client } & \begin{array} { c } \text { Book Value of } \\\text { Accounts }\end{array} & \begin{array} { c } \text { Book Value of } \\\text { Stratum }\end{array} & \begin{array} { c } \text { Sample } \\\text { Sample }\end{array} \\\hline 1,202 \text { accounts } < \$ 1,000 & \$ 948,378 & \$ 59,175 & \$ 51,256 \\\hline 534 \text { accounts } > \$ 1,000 & \$ 777,504 & \$ 36,400 & \$ 34,400 \\\hline\end{array}$$ Use ratio projection to project your results.