belongs to book: AUDITING & ASSURANCE SERVICES | A Systematic Approach|William F.Messier, Steven M.Glover, Douglas F. Prawitt|10th Edition| Chapter number:3| Question number:3.12
While net income before taxes is frequently used for calculating overall materiality, discuss circumstances when total assets or revenues might be better bases for calculating overall materiality.
if pretax income is not stable or entity is close to breaking even or experiencing a loss
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if pretax income is not stable or entity is close to breaking even or experiencing a loss
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