In Proposed PCAOB Rule 4012, "Inspection of Foreign Registered Public

question 9

Multiple Choice

In proposed PCAOB Rule 4012, "Inspection of Foreign Registered Public Accounting Firms" issued for comment in December 2007, which of the following is NOT one of the broad principles upon which the board may place full reliance on the inspection program of qualified non-U.S. auditor oversight entities?

• A) Transparency of the oversight system
• B) Adequacy and integrity of the oversight system
• C) Rigidity of professional standards mandated by the oversight system
• D) Independence of the oversight system's source of funding

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Definitions:

Cognitive Development

Refers to the growth and change in intellectual capabilities, such as thought, reasoning, and problem-solving, that occur throughout a person's lifespan.

Piaget

Refers to Jean Piaget, a Swiss psychologist known for his pioneering work in the study of child development and his theory of cognitive development.

Classical-Conditioning Principles

The psychological mechanisms and rules through which organisms learn to associate stimuli and anticipate events, based on the work of Ivan Pavlov.

Frank

Open, honest, and direct in speech or writing, especially when dealing with unpalatable matters.