Question

What is the PCAOB? Why was it created .

Answer 1

The PCAOB, which is known as Public Company Accounting Oversight Board.It is a private-sector, nonprofit corporation created by the Sarbanes–Oxley Act of 2002. PCAOB is created to oversee the audits of public companies in order to protect the interests of investors as well as the public interest by the preparation of informative, accurate and independent audit reports. The PCAOB also oversees the audits of broker-dealers, including compliance reports filed pursuant to federal securities laws, to promote investor protection.In simple words, it protects the interest of the investors and public interest. The PCAOB has these four primary functions i.e. registration, inspection, standard setting and enforcement.