When the accountant performs an audit that involves a public client outside the U.S.that reports to the SEC in the U.S.
A)he follows the guidelines of the profession listed in Statements on Auditing Standards
B)he follows the guidelines of the profession issued by the Public Companies Accounting and Oversight Board
C)he follows the guidelines of the profession listed in Statements on Standards for Accounting and Review Services
D)he follows the guidelines of the profession listed in Statements on Standards for Attestation Engagements

Question

Quizplus · Accepted Answer

When performing audits of public clients that report to the SEC in the U.S. but are located outside of the U.S., the accountant must follow the guidelines established by the Public Companies Accounting Oversight Board (PCAOB). The PCAOB issues auditing standards, known as Auditing Standards, that are applicable to audits of public companies, including those that are located outside of the U.S. Therefore, choice B is the correct answer.

When the Accountant Performs an Audit That Involves a Public