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Which of the following is correct in relation to materiality?
Auditingmedium
AA matter is material only if it changes the audit report
BA matter is material if the auditor and the directors both decide that further work needs to be done in the area under question
CA matter is material only if it affects directors’ emoluments
A matter is material if its omission or misstatement would reasonably influence the decisions of an addressee of the auditors’ report
Correct Answer: D. A matter is material if its omission or misstatement would reasonably influence the decisions of an addressee of the auditors’ report
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