Materiality underlies the application of generally accepted auditing standards, particularly the:
A) general and field work standards.
B) general and reporting standards.
C) field work and reporting standards.
D) reporting standards.
E) general standards.

Question

Quizplus · Accepted Answer

Materiality is a key concept in both the field work and reporting standards of auditing. It guides auditors in planning and performing the audit (field work) and in evaluating the effect of identified misstatements on the financial statements (reporting).

Materiality Underlies the Application of Generally Accepted Auditing Standards, Particularly