Rick prepared financial statements for MegaCorp knowing that it was going to use his statements to apply for a loan with Big Bank. When Big Bank turned MegaCorp down, it applied to Fourth Bank for a loan. MegaCorp presented the statements prepared by Rick to Fourth Bank which gave the company a loan. It was discovered that Rick was negligent in preparing the statements, and Fourth Bank sued Rick
Under which of the following tests is Rick liable?
a. Ultramares doctrine
b. Foreseeable doctrine
c. Restatement doctrine
d. Both the foreseeable doctrine and the Restatement doctrine
d
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Return on assets can be a misleading ratio when analyzing technology firms because two important assets, ______________________________ and ______________________________ do not appear on their balance sheets
Fill in the blank(s) with correct word
A ________ income statement format shows detailed computations of net sales and other costs and expenses, and reports subtotals for various classes of items.
Fill in the blank(s) with the appropriate word(s).
Which of the following components is typically included in a formal proposal but is optional in an informal proposal?
A) Budget B) Staffing C) Authorization Request D) Abstract or summary
Revised Article 3 eliminates the particular fund doctrine by providing that a promise or order is not made conditional because payment is to be made only out of a particular fund
a. True b. False Indicate whether the statement is true or false