Materiality principle: the significance of an item should be considered when it is reported.

The materiality principle means that all operations which are of significance for the information sought shall be taken into account in the financial statements.

See also: comparability of information principle, consistent accounting methods principle, going-concern principle, materiality, materiality principle, no-netting principle, prudence principle, reality over appearance principle.

It must in all cases be succinct, easy to update and respect the principles of materiality and proportionality.

(3) The principle of materiality could be applied where these transactions have no material impact on the foreign currency position and/or in the profit and loss account.