An audit is assessing a small business that is selling automotive parts and diagnostic services.

The Payment Card Industry Data Security Standard (PCI DSS) is the compliance regulation that must be applied to a company that accepts credit card payments. PCI DSS is a set of security standards designed to ensure that all companies that accept, process, store, or transmit credit card information maintain a secure environment. Since the small business in question has acquired a POS terminal to handle credit card transactions, it falls under the purview of PCI DSS compliance.