An accountant uses an AI tool to draft a client's disclosure notes. The draft looks professional but cites an accounting standard requirement that does not exist. Which statement best describes the accountant's responsibility?

Correct answer: C) The accountant remains responsible for the work and must review and verify AI-generated output before relying on it

Explanation

Professional competence and due care requires accountants to understand the limitations of the tools they use and to review their output. Generative AI can produce plausible but incorrect content, so over-reliance creates a risk of automation bias and errors. Responsibility for the work remains with the accountant; banning all technology is not required.