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Under Section 11 of the Securities Act of 1933, Which

Question 24

Multiple Choice

Under Section 11 of the Securities Act of 1933, which of the following standards may a CPA use as a defense?

A) The auditor exercised due diligence in following PCAOB auditing standards and generally accepted fraud detection standards.
B) The auditor exercised due diligence in following PCAOB auditing standards but not generally accepted fraud detection standards.
C) The auditor exercised due diligence in following PCAOB fraud detection standards but not generally accepted auditing standards.
D) The auditor exercised due diligence in following neither PCAOB auditing standards nor generally accepted fraud detection standards.

Correct Answer: