a. Describe the events that led up to the passage of the Act.
b. Describe the major changes made by the Act.
2) Auditors must be concerned with both generally accepted auditing standards and generally accepted accounting principles in performing an audit.
(a) Compare generally accepted auditing standards with generally accepted accounting principles.
(b) Summarize two of the three generally accepted auditing standards known as the general standards.
3) CPAs are allowed to advertise under the Rules of the AICPA Code of Professional Conduct.
a. List the general guidelines regarding the nature of acceptable advertising.
b. Describe two specific forms of unacceptable advertising.
4) . When considering a client's internal control, the auditors focus on its various characteristics. For each of the following characteristics indicate the auditors' responsibility under generally accepted auditing standards and the procedures used to meet that responsibility.
a. The design of internal control.
b. Controls have been implemented (placed in operation).
c. The operating effectiveness of controls.
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