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- 1 Marks
Question
Which of the following concepts requires the accountant to give special accounting treatment to items of significant value?
A. Accrual
B. Going concern
C. Materiality
D. Entity
E. Dual aspect
Answer
C. Materiality
Explanation:
The materiality concept requires accountants to apply special accounting treatment to items that are significant enough to influence the decision of users of financial statements. Items deemed immaterial can be treated less rigorously.
- Tags: Accounting Concepts, Accrual, Going Concern, Materiality
- Level: Level 1
- Uploader: Theophilus