If New Information Comes to Light That Would Cause the Auditor

Multiple Choice

If new information comes to light that would cause the auditor to establish a different level of planning materiality, then the auditor _______.

A) should examine the information and make adjustments to materiality as needed
B) issue a qualified opinion as part of the audit report
C) follow the auditing standards that recommend an appropriate percentage of total assets as a benchmark for planning materiality for all companies
D) have management of the company select the appropriate benchmark for planning materiality