When auditors are judging materiality, they are concerned with:
A) Magnitude.
B) Errors.
C) Intentional omissions.
D) All of the above.

Question

Quizplus · Accepted Answer

Materiality in auditing is concerned with the magnitude of an omission or misstatement of accounting information that, in the light of surrounding circumstances, makes it probable that the judgment of a reasonable person relying on the information would have been changed or influenced by the omission or misstatement. This includes errors, intentional omissions, and indeed any inaccuracies of a magnitude that could influence economic decisions.

When Auditors Are Judging Materiality, They Are Concerned With