Auditing & Assurance Services 6th Edition by Timothy Louwers

تمرين 127

If a CPA firm is being sued for common law fraud by a third party based upon materially false financial statements, which of the following is the best defense the auditors could assert?
A) Lack of privity.
B) Lack of reliance.
C) A disclaimer contained in the engagement letter.
D) Contributory negligence on the part of the client.