Discuss Three Audit Implications of XBRL

question 24

Essay

Discuss three audit implications of XBRL

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Definitions:

Diminishing Returns

An economic principle stating that as investment in a particular area increases, the rate of profit from that investment, after a certain point, cannot continue to increase if other variables remain constant.

Catch-Up Effect

The theory that poorer economies will tend to grow at faster rates than wealthier ones, allowing them to catch up in terms of income and other economic measures.

Capital

Refers to assets or resources that businesses or individuals use to generate wealth through investment.

Saving Rates

The proportion of disposable income that individuals or an economy as a whole save rather than spend on consumption.