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A content analysis of CPA firms’ correspondence following PCAOB inspections: 2004–2010

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  • Blankley, Alan I.
  • Kerr, David S.
  • Wiggins, Casper E.

Abstract

The Public Company Accounting Oversight Board (PCAOB) has conducted well over 1000 inspections of public accounting firms since 2004, the year their inspections began. The PCAOB inspections are mandated by the Sarbanes–Oxley Act of 2002, and are designed to promote high professional audit standards and improve the audit quality of registered public accounting firms (U.S. House, 2002). Since then, a growing body of research has emerged focusing on the process, results, and decision implications of the inspections. Most of the research to date has focused on determining the impact of the inspection regimen from the perspective of regulators, clients, or markets, but there has been very little research focused on the effect of inspections on the accounting firms themselves.

Suggested Citation

  • Blankley, Alan I. & Kerr, David S. & Wiggins, Casper E., 2012. "A content analysis of CPA firms’ correspondence following PCAOB inspections: 2004–2010," Research in Accounting Regulation, Elsevier, vol. 24(2), pages 74-89.
    • Handle: RePEc:eee:reacre:v:24:y:2012:i:2:p:74-89
    DOI: 10.1016/j.racreg.2012.05.007
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    References listed on IDEAS

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    1. Lennox, Clive & Pittman, Jeffrey, 2010. "Auditing the auditors: Evidence on the recent reforms to the external monitoring of audit firms," Journal of Accounting and Economics, Elsevier, vol. 49(1-2), pages 84-103, February.
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    Cited by:

    1. Franzen, Laurel & Meckfessel, Michele & Moehrle, Stephen R. & Reynolds-Moehrle, Jennifer A., 2015. "Developments in accounting regulation: A synthesis and annotated bibliography of evidence and commentary in the 2012 academic literature," Research in Accounting Regulation, Elsevier, vol. 27(1), pages 21-38.
    2. Löhlein, Lukas, 2016. "From peer review to PCAOB inspections: Regulating for audit quality in the U.S," Journal of Accounting Literature, Elsevier, vol. 36(C), pages 28-47.
    3. Flesher, Dale L. & Sharp, Andrew D., 2014. "Recalling the Public Oversight Board (1977–2002) and winners of the John J. McCloy Award," Research in Accounting Regulation, Elsevier, vol. 26(2), pages 204-211.
    4. Carlin Dowling & W. Robert Knechel & Robyn Moroney, 2018. "Public Oversight of Audit Firms: The Slippery Slope of Enforcing Regulation," Abacus, Accounting Foundation, University of Sydney, vol. 54(3), pages 353-380, September.

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