The accounting concept which states that expenditure involving insignificant amounts should be regarded as expenses and not assets is?

By: |Published on: Mar 20|Categories: Accounting WAEC| 0 comments

A. business entity
B. materiality
C. dual aspect
D. realization

Correct Answer: Option B

B. materiality

Explanation

The materiality principle states that an accounting standard can be ignored if the net impact of doing so has such a small impact on the financial statements that a reader of the financial statements would not be misled.

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