PCAOB Responsibilities Flashcards
1
Q
What are the five responsibilities of the PCAOB?
A
1) Registration of US public accounting firms which audit public companies (called “issuers”
2) Inspections of registered public accounting firms
- Firms auditing at least 100 issuers- inspected annually
- Firms fewer than 100- inspected every three years
3) Standard setting (auditing, QC, ethics, and independence standards applicable to registered public accounting firms)
4) Enforcement (of registered firms & Individuals involved)
5) Funding- the PCAob is funded by registration and annual fees from public accounting firms and annual accounting support fee assessed on issuers
