Examlex
A financial institution sues the audit firm for failure to discover that a borrower's financial statements are materially misstated. This is an example of which of the following legal liability concepts?
Biological Factors
Refers to the genetic, neurological, and physical conditions that affect an individual's development and behavior.
Diathesis-stress Model
A psychological theory that explains behavior as a predispositional vulnerability together with stress from life experiences.
Mental Disorders
Conditions characterized by disturbances in a person's thoughts, emotions, or behavior.
Predisposition
A natural inclination or tendency to behave in a certain way or to develop a particular condition based on genetic or environmental factors.
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