Quibble Game Company's Liabilities Exceed Its Assets

question 36

Multiple Choice

Quibble Game Company's liabilities exceed its assets.Quibble hires Roo & Slay,an accounting firm,to prepare a balance sheet.Through Roo & Slay's negligent omissions,the sheet shows a positive net worth.Town Bank relies on the balance sheet to make a loan to Quibble.When Quibble defaults,Town files a suit against Roo & Slay.Under the Restatement rule,Roo & Slay is most likely

• A)liable because Roo & Slay owed a duty of care to Quibble.
• B)liable because Roo & Slay owed a duty to any foreseeable user.
• C)liable if Roo & Slay knew that Town would rely on the balance sheet.
• D)not liable because Roo & Slay and Town were not in privity.

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Definitions:

Placebo Treatments

Interventions without active ingredients designed to mimic the experience of real treatments, used in research to assess the efficacy of new treatments.

Person-centered Therapy

A therapeutic model that empowers the client, emphasizing unconditional positive regard, empathy, and congruence in the therapeutic relationship.

Consumer-oriented

An approach focusing on meeting the needs and expectations of consumers, prioritizing their satisfaction and engagement.

Holistic Health

An approach to well-being that considers the whole person—body, mind, spirit, and emotions—in the pursuit of optimal health and wellness.