Registration with the PCAOB Requires CPA Firms To

question 26

Multiple Choice

Registration with the PCAOB requires CPA firms to:

• A) Pay a substantial one-time only fee
• B) Submit to periodic PCAOB quality control inspections of their federal tax compliance practices
• C) Submit annual reports to the PCAOB that identify their audit clients and fee structures
• D) Submit to periodic PCAOB quality control inspections that are disseminated to the firm's audit clients

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Definitions:

Equilibrium Price

The price at which the quantity of a product offered is equal to the quantity of the product in demand, thus the market is in balance.

Compact Discs

Optical storage media used to store data, including music and software, readable by laser-based players and computers.

Demand

The quantity of a good or service that consumers are willing and able to purchase at various prices during a certain period of time.

Equilibrium Price

The market price at which the quantity of a good or service demanded equals the quantity supplied, leading to market stability.