There Are No Circumstances Upon Which an Auditor Owes a Duty

question 15

True/False

There are no circumstances upon which an auditor owes a duty of care to a third party.

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Definitions:

External Locus

A belief system where individuals perceive their outcomes in life as being largely controlled by external forces rather than their own efforts.

Locus of Control

Refers to an individual's belief system regarding the causes of his or her experiences and the factors to which that person attributes success or failure.

Adaptation-Level

A theory suggesting that people adapt to certain levels of stimuli and thus their perception of new stimuli is dependent on past experiences.

Type A Personality

A personality characterized by high levels of competitiveness, self-drive, impatience, and a constant sense of urgency.