The information in the accounts and financial statements can be said as material if its misstatement or omission influences the economic decision of user of financial statements. The information can be said as material depends on the size of the organization, size of item amount and also the legal effect of the transaction also affects its materiality. All the material information in the accounts or financial statements should be checked in detail by the auditors. To discuss: Major steps in applying materiality to an audit

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Chapter 3, Problem 3.12RQ

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The information in the accounts and financial statements can be said as material if its misstatement or omission influences the economic decision of user of financial statements. The information can be said as material depends on the size of the organization, size of item amount and also the legal effect of the transaction also affects its materiality. All the material information in the accounts or financial statements should be checked in detail by the auditors.

To discuss: Major steps in applying materiality to an audit

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