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Audit opinion

This topic has 1 reply, 2 voices, and was last updated 2 years ago by Kim Smith.

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November 10, 2022 at 4:01 pm #671196
jangodango
Participant
- Topics: 28
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In the sep/DEC 20 question 3d. When you calculated the size you had 2.3% and you said it was material but I remember in the notes the materiality guide for assets was 1% – 2%. So since it is over 2% why is it material
November 10, 2022 at 4:42 pm #671202
Kim Smith
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- Topics: 130
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Greater than the upper end of the benchmark – 2% – is material.
Less than the lower end of the benchmark – 1% – is not material.
In between is a “grey area” that may or may not be material in the circumstances. In AA, if it matters, the % will always be “clear cut”.
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