Martha Is an Accountant Who Helped Oltup,Inc

question 56

Multiple Choice

Martha is an accountant who helped Oltup,Inc.to file registration statements with the SEC.Oltup,Inc.then sold some of its securities.Sandra,who purchased the securities,finds that there are quite a few misleading statements,and she files a lawsuit under Section 18(a) of the Securities Exchange Act of 1934.Which of the following statements is true of this scenario?

• A) Martha can defeat liability if she can show that Sandra was aware of the misleading statements when the securities were sold.
• B) Martha is liable even if she can show that she acted in good faith.
• C) Sandra can recover damages if she can prove that Martha acted negligently.
• D) Sandra can recover damages if she can prove that she was in a privity of contract relationship with Martha.

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Stacked

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