When Auditors Allocate the Preliminary Judgement About Materiality to Account

question 49

Multiple Choice

When auditors allocate the preliminary judgement about materiality to account balances, the materiality allocated to any given account balance is referred to as:

• A) the error range.
• B) tolerable materiality.
• C) tolerable misstatement.
• D) the materiality range.

---

Definitions:

State Convention

A gathering or assembly within a state, often for political or constitutional purposes, such as revising state constitutions or nominating candidates for office.

Federal Election Campaign Act

A United States federal law designed to increase transparency and reduce corruption in the financing of federal election campaigns.

Federal Election Commission

A U.S. government agency tasked with regulating campaign finance legislation in federal elections.

Campaign Rules

Regulations that govern the conduct of electoral campaigns, including financing, advertising, and interactions with voters, to ensure fair and transparent elections.