How have the Sarbanes–Oxley Act's requirements impacted a public company's ability to choose its auditors

Q: How have provisions of the Sarbanes–Oxley Act limited a public company’s choice of auditors?

A: SOX is the act passed by the government to address the corporate scandals. This act regulates and…

Q: Factors to consider before accepting appointment as chief auditor

A: Chief auditor or Chief audit executive refers to a position which is entrusted with the overall…

Q: Who has responsibility for internal control in an organization? According to guidelines set forth in…

A: Sarbanes Oxley Act: In order to protect the rights of an investor from fraudulent practices by the…

Q: What is the “special function” that auditors perform? Whom does the public accounting profession…

A: Auditing:   It is an independent examination of the financial information of an organization to test…

Q: If the auditors encounter a significant scope limitation in evaluating a public company’s internal…

A: Auditing means the inspection of financial accounts of the company to determine if the records are…

Q: What is a law, such as the Sarbanes–Oxley Act of 2002, under which auditors have obligations?

A: The Sarbanes–Oxley Act of 2002 is a federal Law that established Sweeping Auditing and finance…

Q: What are the major differences in the scope of the audit responsibilities for CPAs, GAO auditors,…

A: American Institute of Certified Public Accountants (AICPA): AICPA is the organization which supports…

Q: What are the auditor’s responsibilities to communicate information to the audit committee under…

A:

Q: Who appoints the internal auditor? a. Management b. Government c. External stakeholders d. Members

A: Internal auditor performs internal audit functions.

Q: Compare and contrast traditional auditors’ legal responsibilitiesto clients and third-party users…

A: An Audit is the process of collection of information & data, assess them & identifies the…

Q: What is the auditor’s responsibility for obtaining anunderstanding of internal control? How does…

A:

Q: What additional constraints and obligations do auditors face when doing nonaudit services for public…

A: Audit: The auditing process is the examination of financial statements for conformity.

Q: Which of the following agencies issues independence rules for the auditors of public companies?a.…

A: Auditor: The person who is considered responsible for assessing the credibility of the financial…

Q: In what ways does the practice of internal auditing differ from the practice of public accounting?…

A: Internal audit is assessing the risk & fraud and compliance of Accounting standard, Law…

Q: Why audits of our company performed by different auditors (internal, external, government). ?

A: Auditing is the process of examining the financial statements of the company to check for the…

Q: Can you think of any reasons why the SEC relies on private sector bodies to set accounting…

A: Securities and Exchange Commission (SEC): SEC was created under the Securities Act of 1933 and…

Q: 47-Which of the following are not the rights of the auditors? a) The right to all information and…

A: An audit is an examination of the financial statement by an auditor to check whether the financial…

Q: Who makes recommendations in relation to appointment, reappointment and removal of external auditor?…

A: Introduction: Auditing: Auditing means inspection of processes and Accounting books to eliminate the…

Q: If the auditors encounter a significant scope limitation in evaluating a public company's internal…

A: If the auditors encounter a significant scope limitation in evaluating a public company's internal…

Q: What are some specific transactions that an auditor would expect to be approved by the board of…

A:

Q: Which of the following is not a purpose of the Center for Audit Quality which is affiliated with the…

A: Centre for Audit Quality (CAQ) is affiliated to the AICPA. As the name indicates CAQ is focused…

Q: What other restrictions and requirements apply to auditors whenproviding nonaudit services to public…

A: Audit: Audit is the process of verification of the compliance of the financial statements.

Q: Who is responsible for establishing auditing standards foraudits of U.S. public companies? Who is…

A: Public Company Accounting Oversight Board (PCAOB) which oversees the audit of public companies is…

Q: What is the special function that auditors perform? Whom doesthe external auditing profession serve…

A: Auditing: It is an independent assessment of an organization's financial information to determine…

Q: What is the SEC’s relationship to the Public Company Accounting Oversight Board?

A: The Sarbanes-Oxley Act created the Public Company Accounting Oversight Board to supervise the…

Q: From the Auditor's point of view, what is your recommendations and solution about Enron's Accounting…

A: Auditor is the person who checks the financial statements of the company to determine and give…

Q: What examples can be explained as the type of technical training and proficiency auditors must have…

A: The auditor must have adequate technical training and proficiency to perform the audit. the…

Q: not the rights of the auditors

A: The statements a, b, c and d are wrong because they are the rights of the auditors. For the purpose…

Q: Auditors of both public companies and private entities _______.     A. have a responsibility to…

A: Solution:  Auditors of both public companies and private entities "have a responsibility to report…

Q: What role does the auditor play in gaining a knowledge of internal control? What is the difference…

A: Before completing audit processes, the auditor is responsible for knowing the organization's…

Q: 1. Why must the auditor for a publicly traded company be independent from the company it audits? I

A: An  AUDITOR is considered to be independent when he is physically and mentally not under the…

Q: What are the responsibilities of management described in Section 404 of the Sarbanes-Oxley Act? What…

A: Following are the responsibility of Management describe in section 404 of the Sarbanes-Oxley Act:…

Q: The American Institute of Certified Public Accountants has been the primary source for ethical rules…

A: American institute of certified public accountants is a body who make rules regarding the accounting…

Q: Explain how internal auditors’ sensitivity to ethical dilemmas might be influenced by corporate…

A: Ethical issue:   Ethical issue refers to the situation or problem that requires an organisation or…

Q: How do the major provisionsof the Sarbanes–Oxley Actaffect a public company’s auditprocedures?

A: After a prolonged period of corporate scandals (e.g., Enron and Worldcom) in the United States from…

Q: Explain how the auditors can be sustained in the auditing profession.

A: Auditing: It is an act of the examination of financial statements of an entity and expression of…

Q: If the auditor identifies any events or conditions that may cast significant doubt on the entity's…

A: Auditor is the person who is responsible for performing audit work in the organisation. Audit means…

Q: Explain the legal basis for a cause of action against an auditor. What are the defenses available to…

A: Step 1 Auditors should report true and fairly which enhance the reliability of financial statements…

Q: Describe how the Sarbanes-Oxley Act of 2002 has impacted the role of auditors

A: While performing an audit of company, auditor has to make sure that he complies with the standards…

Q: What is meant by internal control based on the professional standards of a public accountant is: a.…

A: Internal control means a process of doing the work effectively so that objective can be achieved and…