[HelpHelpHelp :)]

Does this make sense? Am I the only one who just doesn’t get the way Audit works??

A CPA firm would be reasonably assured of meeting its responsibility to provide services that conform with professional standards by:
Incorrect A.adhering to generally accepted auditing standards.
B.having an appropriate system of quality control.
C.joining professional societies that enforce ethical conduct.
D.maintaining an attitude of independence in its engagements.

Isn’t the whole point of GAAS that auditors should follow the standards? And that’s their responsibility as auditors? That’s why they’re called Generally Accepted Auditing Standards, right???

But noooo. Ninja answer is as follows:

You answered A. The correct answer is B.
QC Section 10.03 states, “The firm must establish a system of quality control designed to provide the firm with reasonable assurance that the firm and its personnel comply with professional standards and applicable regulatory and legal requirements, and that the firm or engagement partners issue reports that are appropriate in the circumstances.”
Thus, having an appropriate system of quality control provides reasonable assurance.

The happiest people don't have the best of everything, they just MAKE the best of everything!

We can do it!! 🙂

[ortegar5]

It's definitely B! The last of the sentence states “conform with professional standards by.” The question is in relation to the auditor maintaining their quality control standards to ensure independence, integrity, acceptance and continuance of clients, engagement performance, and monitoring. This allows the auditor conform with professional standards. GAAS on the other hand, are a set of audit standards, not professional standards, which all audits (nonissuers or issuers) have to conform with. Does that make sense?

[shawn in VA]

answer is B. They are asking about quality control within a CPA firm.

[HelpHelpHelp :)]

I get it now, thank you! I still hate Audit, though >:(

The happiest people don't have the best of everything, they just MAKE the best of everything!

We can do it!! 🙂

[Author]

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