Pam Certified a Statement Prepared by John, Her Employee, Without

Pam certified a statement prepared by John, her employee, without checking John's work. He was never known to be anything but diligent and his integrity had never been questioned. The audit contained gross misstatements. Pam defends a suit against her claiming "due diligence." She will:

A) succeed, since she had no reason to believe her employee would lie.
B) succeed, because a reasonable person would have inquired further.
C) fail, because due diligence requires reasonable investigation.
D) fail, because she is automatically liable for her employee's act.