Final answer:
The nature of a misstatement that might make it material is option d. Having the effect of changing a positive earnings trend to a negative earnings trend because it can significantly affect user decisions. This option references the qualitative impact of a misstatement, which is crucial in considering its materiality.
Step-by-step explanation:
The nature of a misstatement that might make it material relates to how significant the error is in terms of its size and its nature in the context of financial reporting. When assessing materiality, auditors and financial professionals look at the qualitative aspects as well as the quantitative aspects of a misstatement. In this context, the option d. Having the effect of changing a positive earnings trend to a negative earnings trend, would be considered the nature of a misstatement that might make it material, since it implies a qualitative impact on the financial statements and could influence the decision-making process of users of these statements.
The other options, which involve comparing misstatements to total assets, total liabilities, or pretax income, are focused on quantitative measures. While these are also important, and exceeding a certain threshold could be considered material, they do not, in themselves, define the nature of a misstatement.