Interested to Buy Any Domain ? << Click Here >> for more details...
Is materiality by fund balance or transactions?
- 1 Answers
- 5020 Views
- I also Faced
- E-Mail Answers
Answer / chalapathi rao govada
As per AAS -13, the term materiality is a relevent concept
which means it will depends on terms and conditions of the
situation.
Materiality ref to The transaction which can influence the
decisions of users of financial statements.
So what is material in one situation may not be material in
another situation.
So some transactions may be material if the amount involved
in such transaction is material.
Even though one particular transaction is also material
eventhough it doesnt involve a small fund balance depending
on the nature of such transaction and the the manner in
which it is going to influence the decisions of users of
financial statements.
So depending on the facts and circumstances of the
transaction even a single transaction may be material.
One transaction may not be material singly, but it is
material in aggreage with other transactions.
So the auditor should excercise his professional judgement
to decide the materiality considering the facts and
circumstances of eacha and every transactins.
| Is This Answer Correct ? | 5 Yes | 0 No |
Discuss the factors to be considered by the auditor in order to determine an audit strategy.
purchase price of property purchased within last 3 years is to be relied upon not and not on revalued amount for the purpose of loan against properties.
Why a company or firm should carry out the audit related work.
what do you expect to be doing on a day to day basis as a audit trainee?
how to calculate differ tax?
Alpha Co. issued to the public for subscription 40000 shares of rs 10 each at discount of 10%payable as rs. 2 each on application, allotment and first call and rs.3 on the final call. Applications were received for 60000 shares and allotment was made pro-rata to 80% of applicants. R to whom 2000 shares were allotted paid only the application money, and S who had applied for 3000 shares,paid the entire call money due along with the allotment. pass journal entries to record the above transaction.
What is the Procedure for Audit the Educational Institutions? and what are the documents we have to verify?
Why should we give you the job?
what is the BRS
13 Answers Capital IQ, Genpact,
1. When is GRN raised? 2. what is the purpose of matching open PO listing against GRIR account?
Is Taxi bills allowed to claim the LTA?
whatis audit test. whatis compliace test. what is substantive test.
Audit 
