Which of the Following Is an Example of Joint and Several

question 66

Multiple Choice

Which of the following is an example of Joint and Several Liability?

• A)Chirs Schrewers,CPA will not be liable because of due diligence.
• B)David,CPA will be required to pay 100%,even though he is only 40% responsible.
• C)Kate Brownman,CPA does not have privity of contract with the client's bank.
• D)Meadow Elkins states that the client contributed to the loss of the users.

---

Definitions:

Liability

A financial debt or obligation that an entity is required to pay to another entity in the future.

Creditor

An individual, organization, or other entity that lends money or extends credit to another party.

Asset

An asset is a resource with economic value that an individual, corporation, or country owns or controls with the expectation that it will provide future benefit.

Invested Cash

Funds that are placed into a business by its owners or shareholders with the expectation of generating profits or income.