The Internal Auditing Staff of a Local Manufacturing Company Performs

Multiple Choice

The internal auditing staff of a local manufacturing company performs a sample audit each quarter to estimate the proportion of accounts that are current (between 0 and 60 days after billing) .The historical records show that over the past 8 years,70 percent of the accounts have been current.The sample size needed in order to be 99% confident that the sample proportion of the current customer accounts is within .03 of the true proportion of all current accounts for this company would be _____.

A) 1842
B) 1549
C) 897
D) 632
E) 1267