Final answer:
When making judgments about the pervasiveness of effects or possible effects on Financial Statements, auditors should consider the overall financial statement impact.
Step-by-step explanation:
When making judgments about the pervasiveness of effects or possible effects on Financial Statements of matters giving rise to modification, auditors should consider the overall financial statement impact. This means looking at how the modification affects the entire set of financial statements, rather than just focusing on individual transactions. Ignoring the pervasiveness assessment, limiting it to individual transactions, or relying solely on analytical procedures would not provide a comprehensive understanding of the impact on the financial statements.