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Rakesh Vasudev Mudaliyar asked 5 months ago

sir did not understand this term in class please give detailed meaning 

1 Answers
RaviRavi Staff answered 4 months ago

Pervasive means spread across financial statements and Not pervasive is opposite of it
pervasive misstatement can occur in 3 ways,
1. misstatement affecting many items of financial statements Eg Particular branch not consolidated will affecting many items
2. affecting one item but it is major part of financial statements Eg Over valuation of inventory by 120 crore in total assets of 200 crores is pervasive
3. Fundamental disclosures in financial statements are wrong, like going concern etc 
 

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