One lot of merchandise was counted at $566.34. A second count of the same merchandise showed $566.82. The difference could be ignored due to:

Question

Quizplus · Accepted Answer

Materiality is the concept that allows accountants to ignore insignificant differences or errors that are not likely to affect the decisions of users of financial statements. In this case, the difference between $566.34 and $566.82 is small and immaterial, and it would not affect the overall accuracy of the financial statements. Therefore, the difference could be ignored due to materiality.

One Lot of Merchandise Was Counted at $566