An Item with a "Psychological" Effect (E

question 99

True/False

An item with a "psychological" effect (e.g., where the item maintains an increasing earnings trend) is a qualitative factor that may affect the auditor's decision regarding materiality.

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Definitions:

Autonomous Motivation

Motivation that originates internally, driving individuals to engage in activities for the inherent satisfaction or personal reward they provide.

Competence

The ability to do something successfully or efficiently, involving knowledge, skill, and aptitude.

Relatedness

The need to have meaningful connections with others, influencing one's social interactions and sense of belonging.

Cultures

The shared values, customs, social behaviors, and artifacts of a group of people that differentiate them from other groups.