Which of the Following Statements About Materiality Is Correct

question 91

Multiple Choice

Which of the following statements about materiality is correct?

• A) An item must make a difference or it need not be disclosed.
• B) Materiality is a matter of relative size or importance.
• C) An item is material if its inclusion or omission would influence or change the judgment of a reasonable person.
• D) All of these answers are correct.

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Definitions:

Organizational Demand

The requirements or needs of an organization that dictate its operational, personnel, and resource requirements.

Human Resource Sources

Various origins from which organizations can recruit or acquire human capital, such as internal recruitment, job portals, and educational institutions.

Internal Workforce

The employees who are currently working within an organization, as opposed to temporary or external staff.

Vacancy Model

A framework for analyzing the number of vacant positions within an organization and the strategies for filling them.