Matthews & Co., CPAs, issued an unqualified opinion on Dodgers Corporation.Millennium Bank, which relied on the audited financial statements, granted a loan of $200,00,000 to Dodgers Corporation.Dodgers subsequently defaulted on the loan.To succeed in an action against Matthews & Co., Millennium Bank must prove that the bank was:

Question

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Millennium Bank must prove that it was justified in relying on the audited financial statements prepared by Matthews & Co. If the bank can prove this, it can establish a claim for negligent misrepresentation against Matthews & Co., despite not being in privity of contract with the accounting firm. Therefore, the most appropriate choice in this scenario is D.