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——————————————————————————————————- ———————————————————————————————————- An auditor is evaluating internal controls over invoice verification and is going to be sampling vendor invoices. The auditor is basing the calculations on the following conclusions: Acceptable risk of overreliance 5% Estimated population exception rate (in percent) 2.50 Tolerable exception rate (in percent) 6 The auditor found 1 exception in the sample. Required: a. Using Table 15-8, what is the sample size? b. Using Table 15-9, what is the computed upper exception rate? c. On the basis of your sample results and your responses to parts a and b, should the auditor conclude that internal controls over invoice verification are functioning properly? Your response must answer yes or no, along with an explanation with supporting numbers to appropriately to support your answer. —————————————————————————————————- Be sure to label each part of your answer using the letters a-c to separately answer each of the above questions.
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