According to ASA 320, at What Point Should Materiality Be

question 9

Multiple Choice

According to ASA 320, at what point should materiality be considered?

• A) when determining the nature, timing, and extent of audit procedures
• B) when evaluating the effect of uncorrected misstatements, if any, on the financial report and in forming the opinion in the auditor's report
• C) at all stages of audit planning
• D) both A and B

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Definitions:

Manufacturers

Entities engaged in the conversion of raw materials or components into finished goods through the use of tools, human labor, machinery, and chemical processing.