Which of the Following Statements Is True of the Recovery

question 24

Multiple Choice

Which of the following statements is true of the recovery by a creditor on the theory that the creditor was a third-party beneficiary of the contract employing the accountant?

• A)To recover the creditor must show that only he stood to benefit from the contract.
• B)To recover the creditor must show that the accountant was aware of the fact that the audit was ordered to satisfy the demand of the creditor.
• C)To recover the creditor must prove that the accountant performed the work in a negligent fashion,to the injury of the creditor.
• D)The creditor is prohibited by law,in most states,from bringing such a suit.

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Definitions:

Mediator

An impartial third party who facilitates negotiation and conflict resolution between disputing parties, aiming to help them reach a mutually acceptable agreement.

Neutral Stance

A position of impartiality or objectivity, not aligning with any side or viewpoint in a debate or conflict.

Generalist Practice

A broad approach to social work that integrates various methods and skills to address client issues at multiple levels of practice.

Cautious

Showing careful forethought to avoid danger or risks; being prudent in actions and decisions.