Sr. ERP Consultant & Tax Consultant
241 Points
Joined October 2009
Materiality is something which should be given importance in the given data. While auditing auditor always runs the risk of misstatement. As to reduce the work auditor always applies sample testing and adheres to sample that his reporting is based on those samples.
In case of materiality more filtering is done based on value, time etc. parameters and auditing procedures are more focused to those transaction.
The performing Materiality referes to Materialising the audit procedures based on the audit risk percetage you have difened in the begining of the audit. So you might say there are various audit procedures that are defined such as Vouching, Ledger Scrutiny etc. So which procedure should be given more importance is defined in Performance Materiality.