Which of the Following Statements About the Securities Act of 1933

question 3

Multiple Choice

Which of the following statements about the Securities Act of 1933 is not true?

• A) A third party that purchased securities described in the registration statement may sue the auditor for material misrepresentations or omissions in the audited financial statements.
• B) A third-party user does not have the burden of proof that he/she relied on the financial statements.
• C) A third-party user has the burden of proof that the auditor was either negligent or fraudulent in doing the audit.
• D) A third-party user does not have the burden of proof that the loss was caused by the misleading statements.

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Definitions:

Friendship

Friendship is a deeply interpersonal relationship marked by mutual affection, trust, support, and respect.

Task Purposes

The objectives or goals that a specific task or activity is intended to achieve.

Bill Gore

The founder of W.L. Gore & Associates, a company known for its innovative corporate culture and the development of Gore-Tex materials.

Empowered Teams

Groups of individuals who are given the autonomy, resources, and skills to make decisions within their areas of responsibility, enhancing their effectiveness and satisfaction.