Which of the following statements is correct regarding the quantitative guidelines for materiality in AASB 1031?
A)if the particular item is equal to or greater than 20% of the appropriate base amount,it would be presumed to be material unless there is evidence or convincing argument to the contrary
B)amounts equal to or greater than 5% of the base amount would be presumed to be material unless there is evidence or convincing argument to the contrary
C)if the particular item is less than 10% of the appropriate base amount,it would be presumed to be material unless there is evidence or convincing argument to the contrary
D)if the particular item is equal to or greater than 10% of the appropriate base amount,it would be presumed to be material unless there is evidence or convincing argument to the contrary

Question

Quizplus · Accepted Answer

According to AASB 1031, if an item in the financial statements is equal to or greater than 10% of the appropriate base amount, it would be presumed to be material unless there is evidence or convincing argument to the contrary. Therefore, option D is the correct statement regarding the quantitative guidelines for materiality.

Which of the Following Statements Is Correct Regarding the Quantitative