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In the US, the Sarbanes-Oxley Act [0] is in place to prevent just that and maintain independence between conducting an audit or providing consulting services. S
by srhngpr 8y ago
In the US, the Sarbanes-Oxley Act [0] is in place to prevent just that and maintain independence between conducting an audit or providing consulting services. Similar other regulations exist in Canada [1] and other nations. The Big Four and other firms that are subject to these regulations often do one or the other with clients. It is not common for a firm to be the financial auditors and the provider of consulting services to the clients.
[0] https://en.wikipedia.org/wiki/Sarbanes%E2%80%93Oxley_Act https://en.wikipedia.org/wiki/Sarbanes%E2%80%93Oxley_Act
[1] https://en.wikipedia.org/wiki/Keeping_the_Promise_for_a_Strong_Economy_Act_(Budget_Measures),_2002 https://en.wikipedia.org/wiki/Keeping_the_Promise_for_a_Stro...