Which of the Following Is Not a Factor Adding to the Complexity

Multiple Choice

Which of the following is not a factor adding to the complexity of materiality judgments made by auditors?

A) Regulators pay particular attention to the judgmental aspects of auditor materiality decisions.
B) SEC regulators do not believe it is appropriate to use percentage terms to substitute for a full analysis of all relevant considerations regarding the magnitude of misstatement.
C) Regulators focus on how materiality decisions can affect client financial results.
D) SEC regulators have few requirements for auditors to comply with since the AICPA fills that role.