Under the Private Securities Litigation Reform Act,independent Auditors Are Required

Multiple Choice

Under the Private Securities Litigation Reform Act,independent auditors are required to

A) Report in writing all instances of noncompliance to the client's board of directors.
B) Report to the SEC all instances of noncompliance they believe have a material effect on financial statements if the board of directors does not first report to the SEC.
C) Report clearly inconsequential noncompliance to the audit committee of the client's board of directors.
D) Resign from the audit engagement and report the instances of noncompliance to the SEC.