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Q1: can she request to go through another 25 files?
A1: Yes, if discrepancies are found, she can request to look though all of your files.
Q2: would it be best for me to take the penalties that she has assessed and this be over with and I pay it.
A2: Only you know the answer to that question. If you feel that more discrepancies will be found, then if thwy are offering to leave you alone after the 25 files, I would say go for it. However, I don't think that the field rep has the authority to make the decision whether or not more files will be audited. You may want to ask for her supervisor's telephone number and speak to that person. You don't want to find yourself in a trick bag.
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