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Basic Question 4 of 9

In agency theory, when a corporation hires an auditor, the auditor is a(n) ______.

A. agent
B. principal
C. loser

User Contributed Comments 17

User Comment
Masterkang No, he is a loser!
jasonk I really appreciate the sense of humor occasionally shown in the questions. Go nuts otherwise.
surob Yep, big time loser. :)
cp24 Sometimes the auditor can be a lobbyist who is a loser.
soarer1 LOL
miteymouse The fact that it is unexpected just makes it so much funnier.
soltari007 haha good one!
kennif LOL!!!!
bashg Dont make fun of Auditors... they cant help being loser
Gleeder This question better be on the exam!
sakellari thank you guys..you made me laugh...
idzani Legit lol'd
timkalt Nice one! :)
arom346 I've seen auditors. Loser is not a stretch.
mmccoy Why isn't C correct? Need explanation.
Freddie33 It is correct. Auditors are losers
PeterHaber lmaoo
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Colin Sampaleanu

Learning Outcome Statements

describe the principal-agent relationship and conflicts that may arise between stakeholder groups

CFA® 2024 Level I Curriculum, Volume 2, Module 3.