Pervasive
Pervasive means spread across financial statements and Not pervasive is opposite of it pervasive misstatement can occur in 3 ways, misstatement affecting many items of financial statements Eg Particular branch not consolidated will affecting many items affecting one item. Still, it is a major part of financial statements, Eg Over valuation of inventory by 120 crores in total assets of 200 crores is pervasive. Entire disclosures in financial statements are wrong, like going concerned, etc. [Auditguru]. Pervasive means found everywhere or spread everywhere. A pervasive misstatement would be so serious that the FS is useless. Similarly with a pervasive need for sufficient appropriate audit evidence. Pervasive problems (leading to a disclaimer or an adverse opinion) are rare. It is much more common to have qualified (except for) modified opinions where the shareholders can still make some use of the FS. An example of pervasive leading to a disclaimer of opinion could be the destruction after the year-end but before the audit of all of the client’s supporting documentation. Sometimes a problem with a huge single item can be pervasive. Eg, profits = $10 million, total assets = $50 million, but there is a complete lack of evidence about the inventory of $25 million[Free ACCA & CIMA online courses from OpenTuition].
Material but not pervasive. Free ACCA & CIMA online courses from OpenTuition. Retrieved from: https://opentuition.com/topic/material-but-not-pervasive-vs-pervasive/.
Difference between pervasive and not pervasive. Auditguru. https://auditguru.in/question/difference-between-pervasive-and-not-pervasive/