Business, Management and Accounting
3 years ago

Sarbanes-Oxley Act Strengthens Audit Quality, Boosts Fees for Specialized Auditors

1 view
회계학연구
Research Articles : The Effects of Auditor Characteristics on Audit Quality Before and After the Enforcement of Sarbanes-Oxley Act
Sun Hwa Choi, Sun Young Kim, Yoon Seok Zang

Paper Summary

The study looked at how different types of auditors affect the quality of audits before and after the Sarbanes-Oxley Act (SOX). They found that after SOX, audit fees increased for certain auditors, but the quality of audits did not always improve. Specifically, audits by local and new auditors showed a decrease in errors, while audits by Big 4 and industry specialist auditors did not show the same improvement. This shows that the impact of SOX on audit quality varies depending on the type of auditor.

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