Question

what is materiality concept plz easy language not of google​

Answer 1

Answer:

The materiality concept refers to a situation where the financial information of a company is considered to be material from the point of view of the preparation of the financial statements if it has the potential to alter the view or opinion of a reasonable person. In short, all those important financial information that is likely to influence the judgment of a knowledgeable person should be captured in the preparation of the financial statements of the company. The materiality concept in accounting is also known as materiality constraint.