In order to decide if an item is material accountants must use:
A) professional judgement.
B) a set of rules.
C) a text book.
D) discipline.

Question

Quizplus · Accepted Answer

Materiality is subjective and can vary depending on the context and circumstances. Therefore, in order to decide if an item is material, accountants must use professional judgement. There are no fixed rules or textbook definitions that can determine materiality in all situations.

In Order to Decide If an Item Is Material Accountants