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  3. 2 5 pts quibble company hires roo & slay, an a

2 5 pts Quibble Company hires Roo & Slay, an accounting firm, to prepare a...

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Accounting

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2 5 pts Quibble Company hires Roo & Slay, an accounting firm, to prepare a balance sheet. Through Roo & Stay's negligent omissions, the balance sheet shows a positive net worth, when, in fact, Quibble's abilities exceed its assets. Town Bank relies on the balance sheet to make a loan to Quibble. When Quibble defaults, Town Bank files a negligence lawsuit against Roo & Slay. Roo & Slay is most likely O liable because Roo & Slay owed a duty to any potential user of the balance sheet O liable because Roo & Slay owed a duty of care to Quibble, not liable because Roo & Slay and Town Bank were not in privity, liable if Roo & Slay knew that Town Bank would rely on the balance sheet

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