Thank you for sharing!

Your article was successfully shared with the contacts you provided.

Audit costs almost doubled between 2001, the year before Sarbanes-Oxley took effect, through the end of 2006, primarily because of a median 345% jump in audit fees, according to an in-depth analysis of public companies’ financial data by The Corporate Library. The huge jump in fees, in fact, overshadowed a big drop in consultancy costs, which occurred because projects commissioned before SOX are no longer part of the outside auditor’s responsibilities. As a result of this changing paradigm, the proportion of fees as a percentage of total audit costs, or how much auditors were paid vs. general expenses, rose from 40% to almost 95% of the total bill, according to the study: The Audit Landscape: 2001-2007.”

Treasury & Risk

Join Treasury & Risk

Don’t miss crucial treasury and finance news along with in-depth analysis and insights you need to make informed treasury decisions. Join Treasury & Risk now!

  • Free unlimited access to Treasury & Risk including case studies with corporate innovators, informative newsletters, educational webcasts, and resources from industry leaders.
  • Exclusive discounts on ALM and Treasury & Risk events.
  • Access to other award-winning ALM publications including PropertyCasualty360.com and Law.com.

Already have an account? Sign In Now
Join Treasury & Risk

Copyright © 2019 ALM Media Properties, LLC. All Rights Reserved.