Which is one of the steps in the standard-setting process for the IAASB?

The chosen answer highlights an important aspect of the International Auditing and Assurance Standards Board (IAASB)'s standard-setting process. Setting up a subcommittee for a specific area of work allows for more focused expertise and attention to particular topics or issues that may require specialized knowledge. This approach enhances the quality of the standards being developed by drawing on the insights and experiences of individuals who have a deep understanding of that specific area.

In forming subcommittees, the IAASB can gather a variety of perspectives, conduct thorough research, and ensure that the standards developed are relevant, practical, and grounded in industry needs. This collaboration supports a more robust and comprehensive standard-setting process.

On the other hand, directly implementing new standards without review would undermine the thoroughness and credibility of the standards. Submitting finalized standards for public approval is part of a later stage in the process after drafts have been prepared and reviewed, making it different from the immediate task of setting up a subcommittee. Ignoring feedback from exposure drafts would diminish the effectiveness of the standard-setting process, as stakeholder input is crucial for relevance and acceptance within the profession.