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An auditor knew that the purpose of her audit was to render reasonable assurance on financial statements that were to be used for the application for a loan; the auditor did not know the identity of the bank that would eventually give the loan. under the restatement of torts approach to liability the auditor is generally liable to the bank which subsequently grants the loan for:
a. lack of due diligence.
b. lack of good faith.
c. gross negligence, but not ordinary negligence.
d. either ordinary or gross negligence.

Respuesta :

W0lf93
The auditor is generally liable to the bank which subsequently grants the loan for either ordinary or gross negligence.Gross negligence is defined as the extraordinary lack of regard that shows wilful or heedless carelessness for the outcomes to the security or property of another.On the off chance that one has acquired or contracted to deal with another's property, at that point net carelessness is the inability to effectively take the care one would of his/her own property. In the event that gross carelessness is found by the jugde it can bring about the honor of correctional harms over general and extraordinary harms.

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