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The Restatement Approach to Third-Party Negligence Suits Against Accountants

Question 31

Multiple Choice

The Restatement approach to third-party negligence suits against accountants:


A) does not require that the accountant be aware of the third parties.
B) holds that the accountant is liable only to those third parties who are unreasonably foreseeable.
C) does not protect the typical investor who was unknown to the accountant and his or her client when the financial statements were prepared.
D) requires that the accountant be unaware of the third parties' reliance on the financial statements.

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