2Which of the following items would be considered Material but NOT Pervasive?oInventory is misstated by 8% of the unaudited value due to understatement of purchase price in a foreign currency. Unaudited inventory value is 5% of the total assets. oThe client has breached a debt covenant and must repay a significant loan immediately - they do not have the funds to pay oThe auditor has detected material misstatements in sales, inventory, COGS, sales returns, accounts receivables and cash that they refuse to adjust oManagement of the firm are refusing access to the accounting system and records