Which statement about materiality is correct?

Question $2$ options:

Overall materiality is the threshold that allows for undetected and uncorrected misstatements.

An auditor will obtain more evidence when performance materiality is $$40,000$ than when it is $$20,000.$

An auditor may reasonably choose average industry revenue as the basis for calculating overall materiality $($materiality for the F$/$S taken as a whole$).$

When tolerable misstatement is low, the auditor will use larger sample sizes $($i$.$e$.,$ collect more evidence$)$ than when tolerable misstatement is high. $$