Under the Sarbanes-Oxley Act, in order to audit a public company, ________.
A)only public accountants must constitute the audit committee
B)a public accounting firm must register with the PCAOB
C)all public accounting firms must assign an accountant who works closely with one client over a long duration of time
D)the law of accountant-client privilege must be accepted by the state legislative mechanism

Question

Quizplus · Accepted Answer

The Sarbanes-Oxley Act requires that all public accounting firms that audit public companies must register with the Public Company Accounting Oversight Board (PCAOB), which was created by the Act to oversee the auditing profession. This registration is necessary in order to audit a public company. The other options listed are not requirements of the Sarbanes-Oxley Act.

Under the Sarbanes-Oxley Act, in Order to Audit a Public