Chapter 1, Problem 42RSCQ

To determine

Concept introduction: Auditing standards are made to guide the auditors to perform audits efficiently and effectively. These standards are issued by the American Institute of Certified Public Accountants (AICPA). Public company accounting oversight board (PCAOB) performs inspections of the registered external audit firms that audit public companies.

To indicate:The differences between the roles of the PCAOB and the AICPA.