Question:

1. What role has the AICPA's Auditing Standards Board (ASB) and its predecessors played in setting Generally Accepted Auditing Standards (GAAS) over the past 75 years? How did that role change in 2003?
2. What role does the PCAOB play in setting GAAS?
3. Using the links presented in this week's lecture for theAICPA - Clarified Statements on Auditing Standardsand for the PCAOB's "Auditing Standards," identify for each of the following questions the AICPA's SAS and AU-C section reference and the corresponding PCAOB AS reference. For example, for item a. below the AICPA reference is SAS 122 AU-C sec. 200 and the PCAOB reference is AS 1001.Go to each of the questions, including item a., find the applicable sections, and discuss what is covered in each to include the similarities or differences between the SAS and the AS.

a. Responsibilities and functions of the independent auditor also referred to as overall objectives of the independent auditor

b. Audit evidence

c. Audit documentation

d. Consideration of an entities ability to continue as a going concern

e. Auditor's report on the audited financial statements

1. Discuss the recent developments on the auditor's report on audited financial statements.
2. Discuss the enforcement actions that may be taken for the violation of:

a. AICPA's SAS's

b. PCAOB's AS's

Following is a link to PCAOB Release 2017-002, Auditing Accounting Estimates, Including Fair Value Measurements and Proposed Amendments to PCAOB Auditing Standards.

PCAOB Release No. 2017-002-Auditing-Accounting-Estimates-Proposed-Rule.pdf

And a link to Release 2017-003, Proposed Amendments to Auditing Standards for Auditor's Use of the Work of Specialists.

PCAOB Release No. 2017-003-Specialists-Proposed-Rule.pdf