Under the Securities Act of 1933, which of the following acts by an accountant may subject the accountant to criminal penalties?

A. Negligently making a false entry in financial statements included in a registration statement.
B. Giving an unmodified opinion on negligently prepared financial statements in an audit report included in a registration statement.
C. Willfully including materially misstated financial statements in a registration statement.
D. Failing to use due diligence in the preparation of financial statements included in a registration statement.

Answer: C. Willfully including materially misstated financial statements in a registration statement.

Business

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