2. Preliminary Judgment about Materiality Measurement base . (rounded) (i.e., income, revenue, assets) Percentage apphed\" Preliminary materiality * Pre-tax income Materiality percentages: Pre-tax income Assets Equity Revenue Gross prot 7 31094: %1% Iii5% iii1% l/5% % 65,000 These materiality factors are provided as guidelines only, and should be used only as an aid in the development of your professional judgment. The materiality level should represent the largest amount of a misstatement or group of misstatements that would not, in your judgment, inuence or change a decision based on the financial statements