Draft guidance for applying the concept of materiality
FINANCIAL REPORTING INSIGHTS |
The International Accounting Standards Board recently published a draft IFRS Practice Statement, Application of Materiality to Financial Statements, which provides guidance regarding the following:
- Characteristics of materiality
- How to apply the concept of materiality when making decisions about presenting and disclosing information in the financial statements
- How to assess whether omissions and misstatements of information are material to the financial statements
The draft Practice Statement is available for comment until February 26, 2015.