Use the chart to complete the materiality worksheet based on the trial balance.

Planning Materiality is: Amount + (Percent Base) If the Base Amount (larger of total assets or total revenue) is: But Not Over $50 thousand $100 thousand $500 thousand Over $0 0 + 5.5% 1,250 + 3.0% 2,250 + 2.0% 7,500 + 1.0% 9,500 +0.8% 19,500 +0.6% 40,000 + 0.4% 115,000 + 0.25% 185,000 + 0.18% $50 thousand $100 thousand $500 thousand $1 million $5 milliorn $10 million $50 million $1 million $5 milliorn $10 million $50 million $100 million $100 million Example: If the base amount were $3.5 million, then the planning materiality amount would be as follows: $9,500 + (.008 $3,500,000) = $37,500 Round amount to two significant digits: $38,000