2 ms·
Well but I think the rule that most companies generally use is if it's under 5% of assets. That's why I was asking.
by downandout 10y ago
Well but I think the rule that most companies generally use is if it's under 5% of assets. That's why I was asking.
- jacquesm 10y agoThat really depends on the situation. For instance, even a small amount might make the difference between 'profitable' or 'not profitable' and that could easily trigger sell orders and send the stock down, which would make that small amount material. So what is material depends on the eye of the beholder. Also, if it's good news then there will be a higher threshold for what is material than when it is bad news.