Mandatory audit firm rotation has been examined in the U.S. before—but it has never been adopted.
Changes to auditors' responsibilities should focus on improving the overall quality of the audit and the quality of financial reporting for investors. Mandatory audit firm rotation does not achieve these objectives.
Mandatory audit firm rotation would diminish audit quality, make financial reporting less reliable, and add costs for investors.
We believe the reforms implemented resulting from the Sarbanes-Oxley Act have been successful in enhancing audit quality and should be built upon.
The PwC assurance services practice examines and attests to the financial performance and operations of your business. Beyond financial audits, this PwC practice also provides internal control audits, business and performance reporting, and social, environmental, and other compliance reviews.
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