Alice,a Certified Public Accountant (CPA)made Mistakes in Auditing the Financial

Alice,a certified public accountant (CPA) made mistakes in auditing the financial statements of ABC Company,a publicly traded corporation.Although Alice later became aware of the mistake and knew ABC was soliciting investors,she kept quiet about it,and ABC proceeded to sell stock without revealing the error.After ABC went bankrupt,investors sued Alice alleging that she had primary liability under federal securities law.Which of the following is the most likely result assuming the court follows the reasoning of David Overton and Jerome I.Kransdorf v.Todman & Co.,CPAs,P.C.and Trien,Rosenberg,Rosenberg,Weinberg,Ciullo & Fazzari,the case in the text involving a similar situation?

A) That while Alice had a duty to correct her opinion, she could not be held primarily liable under federal securities law.
B) That Alice had no duty to correct her opinion in regard to investors because her contract was only with ABC Company, and the investors had no right to rely upon it.
C) That Alice had a duty to correct her opinion and that she could be held primarily liable under federal securities law.
D) That Alice had no duty to correct her opinion unless the facts establish that one or more investors specifically asked her about the results of the audit in which event she could be held primarily liable under federal securities law if she failed to disclose the mistake.
E) That Alice had a duty to correct her opinion only if the mistake resulted from gross negligence on her part in which event she would also have a duty to disclose the mistake to any potential investors.