Under Which of the Following Tests Is an Accountant Held

question 8

Multiple Choice

Under which of the following tests is an accountant held liable to any third-party that was or should have been foreseen as a possible user of the accountant's work product and that,in fact,did use and rely upon that work product for a proper business purpose?

• A)The Privity Test
• B)The Restatement Test
• C)The Ultramares Rule
• D)The Reasonably Foreseeable Users Test
• E)The Near Privity Test

---

Definitions:

U.S. Consumers

Individuals or households in the United States that purchase goods and services for personal use.

Technological Advances

Progress in technology that enhances the efficiency of processes, products, or services.

Nest's Doorbell

A smart home device manufactured by Nest Labs that allows homeowners to see, hear, and speak to visitors at their door remotely via a smartphone app.

Substitute

A product or service that can be used in place of another to satisfy the same need or desire, often influencing consumer choice and market dynamics.