Purpose – The purpose of this paper is to examine the determinants of internal control weakness remediation revealed under Sarbanes‐Oxley (SOX) section 404 reporting requirements. Design/methodology/approach – Data on firms that reported internal control weaknesses for fiscal year 2004 are...

Purpose – The purpose of this paper is to examine the determinants of internal control weakness remediation revealed under Sarbanes-Oxley (SOX) section 404 reporting requirements. Design/methodology/approach – Data on firms that reported internal control weaknesses for fiscal year 2004 are...

Much has been written about Section 404 of the Sarbanes Oxley Act, especially the great expense that it inflicts upon SEC registrants preparing their annual reports. Less remarked on, though, is whether the restrictions that SOX imposes on the auditing profession in its relationship to its...

Before implementation of the Sarbanes Oxley Act (SOX) in 2002, researchers frequently used fees from non-audit services (NAS) as a surrogate for auditor independence. NAS is still used in this way, even though SOX has restricted the types of NAS that auditors may provide to their clients....

This study uses logistic regression analysis to examine the determinants of internal control weakness remediation on a sample of firms that reported internal control weaknesses at the end of fiscal year 2004, and then reported the presence or absence of internal control weaknesses at the end of...

The issue of the importance of the independent auditor's audit to the integrity of corporate financial statements has been a staple of the corporate governance and financial market functioning literature since the Securities Act of 1933 and the Securities Exchange Act of 1934. These acts...