Materiality is important because if financial statements are materially misstated, users' decisions may be affected, and thereby cause financial loss to them. It is difficult to apply because there are often many different users of the financial statements is the correct statement for the difficulty of applying the materiality in practice.
Answer: Option C
<u>Explanation:</u>
Materiality is important but difficult to apply in practice because the user’s decisions may be hugely affected if the financial statements are misstated materially and this may cause a loss.
It is also very difficult in applying in practice due to having many different users of the financial statements. Making an assessment of the users is compulsory by the auditors and use the application of the materiality.
Answer:
The correct answer is High-context cultures.
Explanation:
High-context cultures are those cultures where the use of contextual elements communication is mainly used and is implicitly stated. The tone of voice or body language are clear examples of those contextual elements. The concept was proposed by anthropologist Edward T. Hall (1914-2009) in his book <em>Beyond Culture</em> (1976).
The members of high-context cultures have close, long-lasting relationships that allows them to know each other so the rules for their communication do not have to be explicitly stated. Examples of high-context cultures are <em>Japan, Brazil, African tribal groups, Iraq, Iran, and most cultures in the Middle East</em>.
Thanks to modern technologies, like the Internet, the customer reviews have gained a lot of importance for companies and they aim to receive good feedback from them. For example, when you are going to buy something on Amazon, would you buy a 1-star item or a 5-star one? Some companies have even hired people to write good reviews for their products online. So, instant communication and sales for customers is one of the most important factors when rating a product or a company because it shows: (1) Businesses can be available for customers 24 hours a day. (2) Customers can purchase goods and services online. and (3) Customers can give feedback to producers instantly
Answer:
Moches: Well developed and established irrigation channels and creation of labor classes
Chimus: Planning to build cities, messaging system.
Explanation:
Moches and Chimus are civilizations that predated the Incas, but that contributed in a great way to the establishment and success of the Inca culture.
The moches influenced the Incas to develop and establish efficient irrigation channels that would allow an advance in agriculture, generating more wealth and an efficient trade. It also influenced the creation of labor classes, allowing the collection of taxes to be equivalent to social class and that no one could be exploited.
The Chimus, in turn, influenced the Incas to plan the construction of new cities very well, with major works that showed the wealth of the empire, in addition to providing comfort to the population. They also influenced a system for transmitting messages through corridors, which was very modern and efficient at the time.
