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MASB amends its definition of ‘material’

The amendments are a response to findings that some companies experienced difficulties using the previous definition when judging whether information was material for inclusion in the financial statements. Indeed up to now, the wording of the definition of material in the Conceptual Framework for Financial Reporting differed from the wording used in MFRS 101 and MFRS 108. The existence of more than one definition of material was potentially confusing, leading to questions over whether the definitions had different meanings or should be applied differently.