A Creditor Beneficiary Is _____

question 31

Multiple Choice

A creditor beneficiary is _____.

• A) one to whom the promisor agrees to pay a debt of the promisee
• B) one who has no rights
• C) an intended beneficiary
• D) the recipient of a gift promise
• E) one who is not the intended beneficiary

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Definitions:

Reasonably Competent Accountant

Refers to an accountant who possesses the average level of skill and knowledge expected of a professional in the accounting field.

Negligence

Negligence is a failure to exercise the care that a reasonably prudent person would exercise in similar circumstances, leading to unintentional harm or damage.

Audit Reports

Formal opinions or evaluations by auditors regarding the accuracy and completeness of a company's financial statements.

Registered Public Accounting Firms

are accounting firms that are registered with the appropriate regulatory body, allowing them to audit public companies.