Which of the Following Statements About AASB 1031 Materiality Is/are $\quad$

question 29

Multiple Choice

Which of the following statements about AASB 1031 Materiality is/are correct?
I. $\quad$ Qualitative factors may be the primary reason that an item is classified as material.
II. $\quad$ Materiality means that accounting standards only have to be applied to an item if the amount of the item is greater than or equal to 10 per cent of the relevant base amount.
III. $\quad$ An accounting standard's provisions may have to be applied to an item even when that item is less than 1 per cent of the relevant base amount.
IV. $\quad$ Materiality applies to accounting measurement and policies but not to disclosure.

• A)III only
• B)I and II only
• C)I and III only
• D)I, III and IV only

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Definitions:

Severity Of Initiation

The degree of difficulty or discomfort associated with the process of becoming a member of a group, which can affect individuals' valuation of the group.

Cohesive Combat Groups

Military units that exhibit a high level of unity and teamwork, enhancing their effectiveness in combat situations.

Buffer

A protective barrier or cushioning measure that reduces the impact of negative effects or forces.

Combat Fatigue

A psychological condition experienced by soldiers or combatants due to the stress, fear, and exertion of battle, also known as battle fatigue or shell shock.