What best describes a material misstatement and how it is quantified?

• A. A misstatement that has no potential impact on user decisions
• B. A misstatement that could influence decisions of users, but is automatically corrected by adjustments in the next period
• C. A misstatement that is always considered immaterial
• D. A misstatement that could influence decisions of users and is quantified relative to materiality thresholds

Answer: (D)