A Survey on the Assessment of Iranian External Auditors' Recognition of Materiality Levels

The financial statements users always rely on auditors' report in their decision making. Thus, due to the importance of auditors' accreditation, the auditing standards require auditors to design their audit in such a way to gain reasonable confidence from the detection of errors with material effect on financial statements. In this respect, we decided to test the external auditors' familiarity with the qualitative and quantitative materiality levels. The present survey was made about the members of Iranian Association of Chartered Certified Accountants. Firstly the auditors employed in the organization were tested versus the colleague auditors in private institutions. Then, in next assumptions the different job categories of auditors were compared and their familiarity with qualitative and quantitative materiality levels were assessed. The research results indicated that there is an appropriate general consensus among the auditors in the organization and the colleague auditors in private institutions.