User Account

All Pages

Correct relating to cpa common law liability

Assignment Help Other Subject
Reference no: EM133233721

A CPA audited the financial statements of Zing Company. The CPA performed the audit with ordinary negligence and missed extremely material fraud. Wimmer, one of numerous suppliers to Zing, is upset because Wimmer had extended Zing a high credit limit based on the financial statements that were later found to be incorrect. Which of the following statements is the most correct relating to CPA common law liability?

  • Zing will ordinarily attempt to recover using its right of subrogation.
  • Under the Ultramares approach to third party liability, it is extremely doubtful that Wimmer can recover.
  • The CPA firm will need to convince a jury that it performed the audit with scienter to avoid liability.
  • Wimmer will be required to show that it exercised due diligence in making its credit granting decision, after which the CPA would be required to prove good faith on its audit.

Reference no: EM133233721

Questions Cloud

Define risk management roles and responsibilities : Define Risk Management Roles and Responsibilities-Project Manager chairs the risk assessment meetings.
What elements of the vrio framework : What elements of the VRIO Framework and how is this tool being employed? What structural changes did Flint implement?
Discuss the product acceptance criteria : Discuss the Product Acceptance Criteria ([Product acceptance criteria include the process and criteria that will be used to determine whether the deliverables.
Determining financial statement effects : Determining Financial Statement Effects of Several Transactions The following events occurred for Favata Company: a. Received $10,000 cash from owners and issue
Correct relating to cpa common law liability : A CPA audited the financial statements of Zing Company. The CPA performed the audit with ordinary negligence and missed extremely material fraud. Wimmer, one of
What is the net present value of the investment : An investment that requires $3000 initial investment will return $1000 at the end of first year, $2000 at the end of second year, and $3000 at the end of third
Define the interrelationships between cleaning-quality : During which of the five steps should the team define the interrelationships between cleaning, quality, safety, equipment availability, and team morale?
Determine the dollar amount that the company should invest : A company has liabilities of $402.11 due at the end of each of the next three years. The company will invest $1,000 today to fund these payouts. The only invest
What really motivates people to be honest in business : Each year, one in seven large corporations commits fraud. Why? Economist Alexander Wagner takes us inside the economics, ethics, and psychology of doing the rig

Reviews

Write a Review

Other Subject Questions & Answers

  Cross-cultural opportunities and conflicts in canada

Short Paper on Cross-cultural Opportunities and Conflicts in Canada.

  Sociology theory questions

Sociology are very fundamental in nature. Role strain and role constraint speak about the duties and responsibilities of the roles of people in society or in a group. A short theory about Darwin and Moths is also answered.

  A book review on unfaithful angels

This review will help the reader understand the social work profession through different concepts giving the glimpse of why the social work profession might have drifted away from its original purpose of serving the poor.

  Disorder paper: schizophrenia

Schizophrenia does not really have just one single cause. It is a possibility that this disorder could be inherited but not all doctors are sure.

  Individual assignment: two models handout and rubric

Individual Assignment : Two Models Handout and Rubric,    This paper will allow you to understand and evaluate two vastly different organizational models and to effectively communicate their differences.

  Developing strategic intent for toyota

The following report includes the description about the organization, its strategies, industry analysis in which it operates and its position in the industry.

  Gasoline powered passenger vehicles

In this study, we examine how gasoline price volatility and income of the consumers impacts consumer's demand for gasoline.

  An aspect of poverty in canada

Economics thesis undergrad 4th year paper to write. it should be about 22 pages in length, literature review, economic analysis and then data or cost benefit analysis.

  Ngn customer satisfaction qos indicator for 3g services

The paper aims to highlight the global trends in countries and regions where 3G has already been introduced and propose an implementation plan to the telecom operators of developing countries.

  Prepare a power point presentation

Prepare the power point presentation for the case: Santa Fe Independent School District

  Information literacy is important in this environment

Information literacy is critically important in this contemporary environment

  Associative property of multiplication

Write a definition for associative property of multiplication.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd