Which of the Following Is Not Correct About Materiality

question 68

Multiple Choice

Which of the following is not correct about materiality?

• A)The concept of materiality recognizes that some matters are more important for fair presentation of financial statements
• B)Materiality judgments are made in light of surrounding circumstances and necessarily involve quantitative and qualitative judgments
• C)Materiality should be predictable from audit to audit so that the readers of financial statements know what constitutes materiality
• D)An auditor's consideration of materiality is influenced by the auditor's perception of the need of the readers of the financial statements