What aspect of accounting suggests that the size of a transaction affects its recording?

Materiality is a fundamental concept in accounting that indicates that the significance of a transaction or event should impact how it is recorded in the financial statements. Specifically, materiality suggests that if a transaction is large enough to influence the decision-making of users of financial statements, it must be recorded in a detailed manner. For example, a major purchase or expense would require thorough documentation and recognition in the accounts, while a small or trivial expense might be aggregated or recorded in a simplified manner without extensive detail.

This principle recognizes that not all transactions hold the same weight or importance in the context of financial reporting. Materiality ensures that the financial statements provide a true and fair view of the company's financial position while also being practical in terms of how transactions are reported. The determination of what is considered material can vary based on the size of the entity and the context of the transactions involved.