Which of the Following Must Be Proven by the Plaintiff

question 2

Multiple Choice

Which of the following must be proven by the plaintiff in a case against a CPA under the Section 11 liability provisions of the Securities Act of 1933?

• A)The CPA knew of the misstatement.
• B)The CPA was negligent.
• C)Material misstatements were contained in the financial statements.
• D)The unqualified opinion contained in the registration statement was relied upon by the party suing the CPA.

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Definitions:

Probability

The measure of the likelihood that an event will occur, quantified as a number between 0 and 1, where 1 represents certainty.

Sample Space

The set of all possible outcomes of a statistical experiment.

Outcome

The result or final product of an event, process, or action.

An Event

In probability and statistics, an outcome or a set of outcomes from an experiment or situation.