Nancy is an auditor. She works in a state that uses the Ultramares Doctrine. She fraudulently prepared financial documents for her client, Star, Inc. Her client presented the information to Moonglow, Inc. Moonglow was a potential creditor of Star, Inc., and was seriously damaged by the fraudulent financial information. Moonglow sued Nancy. She claims she is not liable to Moonglow, a third party, since she was not provided with its name at the time the audit was prepared. Is she liable to Moonglow? Explain.
What will be an ideal response?
Yes. Any time an accountant or auditor commits a fraudulent act that injures a third party, the accountant or auditor is liable to any third party who could have foreseeably used the information and who justifiably relied on it. This applies even in states that use the Ultramares doctrine. The Ultramares doctrine deals with negligent conduct on the part of the accountant. Since fraud, an intentional tort, is a very serious act, courts hold accountants or auditors liable to any foreseeable parties who justifiably relied on the work product and were harmed by the fraudulent conduct of the professional.
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Assume that relative purchasing-power parity holds. In 2004, the price level in Japan is 120 and the price level in the U.S. is 145. In 2005, the price level in Japan is 121 and the price level in the U.S. is 149. The exchange rate in 2004 is 112 yen per dollar. Calculate the exchange rate in 2005.
What will be an ideal response?
People who have a preference for the inquisitive style may tend to ________.
A. like to be on a first-name basis. B. use cool and brief handshakes, often without a smile. C. like to be with people even in leisure activities. D. communicate informally.
A copy of the RFP (request for proposal) should be included in the front matter of a formal proposal
Indicate whether the statement is true or false
Without focus on a mission statement, the workplace is chaotic and stressful for employees.
a. True b. False