Qualitative materiality refers to information that:

Question

Quizplus · Accepted Answer

Qualitative materiality refers to information that impacts a user's decision-making process for a reason other than its magnitude. This could include factors such as the nature of the item, the timing of the item, the circumstances surrounding the item, and the potential for the item to cause reputational damage. It is important for auditors to consider qualitative factors in addition to quantitative factors when assessing materiality.

Qualitative Materiality Refers to Information That