Public accounting serves an im- portant role in corporate governance.

Required

a. Describe the role that external auditing fills in promoting good corporate gov- ernance.

b. What were the major criticisms of the public accounting profession and the AICPA as contributors to failures in corporate governance?

c. Identify three items that constituted a "gap" in user expectations and auditor performance associated with corporate governance failures.

d. A former chairman of the SEC described auditors as "public watchdogs." What does the term "public watchdog" convey regarding the responsibility of the ex- ternal auditor to the public?