Factual misstatement

Financial reporting - audit.

In financial reporting, misstatements are differences between amounts reported - or other disclosures - in financial statements, and the amounts or disclosures required by relevant accounting standards.

Factual misstatements include numerical errors and misclassifications.

Factual misstatements can be objectively determined with certainty, unlike judgmental misstatements.

See also

• Accounting standards
• Audit
• Disclosure
• Financial reporting
• Judgmental misstatement
• Material
• Misrepresentation
• Misstatement
• Negligent misstatement
• Qualified audit report
• Unqualified audit report