The following information results from a nonstatistical sampling routine used for a confirmation of accounts receivable. What is the estimate of the total
misstatement?
Population
ISI (Top Stratum) Number: 7 Amount: 700000
Stratum 1 Number: 74 Amount: 750000
Stratum 2 Number: 212 Amount: 250000
Total Number: 292 Amount: 1700000
Sample
ISI (Top Stratum) Number: 7 Amount: 700000 Misstatement: 2200
Stratum 1 Number: 10 Amount: 100000 Misstatement: 1000
Stratum 2 Number: 10 Amount: 12000 Misstatement: 1200
Total Number: 27 Amount: 812000 Misstatement: 4400
What is your best estimate of the total projected misstatement? Show your work.