Which of the Following Statements About Materiality Is Incorrect

question 45

Multiple Choice

Which of the following statements about materiality is incorrect?

• A) The preliminary assessment of materiality guides audit planning and testing.
• B) Materiality is used to guide the validity of information contained in the financial statements.
• C) Materiality is a key auditing concept that is assessed during the planning stage of every audit.
• D) Information is considered material if it has no impact on the decision-making process of financial statement users.

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Definitions:

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A simulated digital environment that can be accessed and interacted with through the internet, often using virtual reality headsets or other devices.

Limited Access

Refers to restrictions or controls on the availability or use of resources or services.