Under the Reasonably Foreseeable Users approach, _____.

Question

Quizplus · Accepted Answer

Under the Reasonably Foreseeable Users approach, the accountant could be liable to unknown but reasonably foreseeable users if three conditions are met. First, the user must have received the financial statements from the accountant's client for a proper business purpose. Second, the third person must have reasonably relied on the accuracy of those financial statements. And third, the damages suffered by the third party must be a foreseeable result of the accountant's negligence.

Under the Reasonably Foreseeable Users Approach, _____