Tolerable misstatement is a. The amount of misstatement that management is willing to tolerate in the financial

Question:

Tolerable misstatement is

a. The amount of misstatement that management is willing to tolerate in the financial statements.

b. Materiality for the balance sheet as a whole.

c. Materiality for the income statement as a whole.

d. Materiality used to establish a scope for the audit procedures for the individual account balance or disclosures.

Balance Sheet
Balance sheet is a statement of the financial position of a business that list all the assets, liabilities, and owner’s equity and shareholder’s equity at a particular point of time. A balance sheet is also called as a “statement of financial...

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