There are two answers to this. 1. Can't be done (at least not how I expected it to be done). 2. Piece of cake to do it.
1. Panther does not (by itself) allow copying of Audio CDs directly, or by creating disc images. You can copy data CDs using disc images. Third party programs like Roxio Toast allow direct disc-to-disc copies, or via images.
2. Apple intends that you will copy CDs using iTunes. You do this by importing the music off CD, then creating a playlist of that album and burning it. Just as good right? Not quite. The default importing of music is to 128kb/s AAC (M4A) format. If you want original CD quality on your copied disc, you need to import into AIFF, Apple Lossless or WAV (all of which take up a lot of space) before burning.
There are other methods, like copying all the AIFF format icons of the original CD, and copying back onto the new disc, but that can be a bit more tricky.