The accounting concept which states that expenditure involving insignificant amounts should be regarded as expenses and not assets is
-
A.
business entity -
B.
materiality -
C.
dual aspect -
D.
realization
Correct Answer: Option B
Explanation
The materiality principle states that an accounting standard can be ignored if the net impact of doing so has such a small impact on the financial statements that a reader of the financial statements would not be misled.