Which of the Following Is a True Statement Regarding Auditing

question 26

Multiple Choice

Which of the following is a true statement regarding auditing standards?

• A) Prior to the passage of Sarbanes-Oxley, the FASB established auditing principles for U.S. public companies.
• B) PCAOB auditing standards are applicable to entities outside the U.S.
• C) There are no similarities between PCAOB standards and International Standards on Auditing.
• D) The Auditing Standards Board has revised most of its standards to converge with the international standards.

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Definitions:

Relational Aggression Theory

A theoretical framework that explains aggressive behavior through the manipulation of social relationships, including actions like exclusion, gossip, or the withdrawal of friendship.

Frustration-Aggression Hypothesis

A theory suggesting that the occurrence of aggressive behavior always presupposes the existence of frustration and, conversely, that frustration leads to some form of aggression.

Freud

Sigmund Freud, an Austrian neurologist who founded psychoanalytic theory, emphasizing unconscious processes and childhood experiences.

Behaviorist Theories

A group of psychological theories suggesting that all behaviors are acquired through conditioning, emphasizing the role of the external environment.