Public Accounting Firms Required Study On The Potential Effects Of Mandatory Audit Firm Rotation

Following major failures in corp. financial reporting, the Sarbanes-Oxley Act of 2002 was enacted to protect investors through requirements intended to improve the accuracy & reliability of corp. disclosures & to restore investor confidence. The act strengthened auditor independence & improved audit quality. Mandatory audit firm rotation (setting a limit on the period of years a public accounting (PA) firm may audit a particular company's financial statements) was considered as a reform to enhance auditor independence & audit quality during the hearings that preceded the act, but it was not included in the act. This report studies the potential effects of requiring rotation of the PA firms that audit public companies registered with the SEC.Franzel, Jeanette M. is the author of 'Public Accounting Firms Required Study On The Potential Effects Of Mandatory Audit Firm Rotation', published 2004 under ISBN 9780756739683 and ISBN 0756739683.