edlin

 Profile Answers by edlin 

• Nov 24th, 2008

 

Materiality is important in the issuance of audit report because materiality is one of the basis whether an audit procedure has to be done with the certain item/s in the financial statements, therefore, items in the financial statements which are below the set up materiality, would not be considered in the examinations and and no way can be included in the audit report.

Nishi Kanti Dey

 Profile Answers by Nishi Kanti Dey Questions by Nishi Kanti Dey

• Jan 25th, 2009

 

There is an direct relationship between materiality and audit report, higher the materiality of an items the higher would be the audit risk which directly impact on the auditors report, keeping in view the materiality of an items they auditor has to show plan his audit so that the audit risk kept an acceptable low level which will support the auditor to give a reasonable assurance on the audit report.