The auditor can be held liable for malpractice in situations where the investors suffered losses while relying on the f

Business, Finance, Economics, Accounting, Operations Management, Computer Science, Electrical Engineering, Mechanical Engineering, Civil Engineering, Chemical Engineering, Algebra, Precalculus, Statistics and Probabilty, Advanced Math, Physics, Chemistry, Biology, Nursing, Psychology, Certifications, Tests, Prep, and more.
Post Reply
answerhappygod
Site Admin
Posts: 899559
Joined: Mon Aug 02, 2021 8:13 am

The auditor can be held liable for malpractice in situations where the investors suffered losses while relying on the f

Post by answerhappygod »

The auditor can be held liable for malpractice in situations where the investors suffered
losses while relying on the financial statements.

Answer: TRUE
Explanation: If it is determined that the independent CPA committed malpractice, the CPA may
be held liable for losses suffered by investors who relied on the financial statements.
Join a community of subject matter experts. Register for FREE to view solutions, replies, and use search function. Request answer by replying!
Post Reply