[Solved] An auditor can be held liable under companies Act 1949 for

An auditor can be held liable under companies Act 1949 for

a) Negligence

b) Criminal offence

c) Professional misconduct

d) Breach of contract

Answer: (c)An auditor can be held liable under companies Act 1949 for professional misconduct. An auditor, to perform his duties must have certain powers, without which it may not be possible for him to perform his duties honestly, and thereby, he might be held liable for any loss that the company might suffer.

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