Under the Balancing Approach, in a Third-Party Negligence Against an Accountant

question 4

Multiple Choice

Under the Balancing Approach, in a third-party negligence against an accountant, the third party _____.

• A) cannot recover unless in privity
• B) cannot recover unless the accountant knew the purpose of reports and the identity of user
• C) may recover when the accountant knew audited material would be used
• D) may recover if determinative factors make liability desirable

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Definitions:

Facial

Pertaining to the face or a beauty treatment for the face.

Sympathetic Division

Part of the autonomic nervous system that prepares the body for physical activity by accelerating heart rate, widening bronchial passages, decreasing motility of the large intestine, and more.

Parasympathetic Division

A division of the autonomic nervous system responsible for conserving energy and promoting the "rest and digest" response.

Vestibulocochlear

The vestibulocochlear nerve, also known as the eighth cranial nerve, is responsible for transmitting sound and equilibrium (balance) information from the inner ear to the brain.