Asked by Siqian Chang on Jun 09, 2024
Verified
The lead audit partner having primary responsibility for an audit and the partner responsible for reviewing the audit must rotate at least every 3 years.
Lead Audit Partner
The senior partner responsible for overseeing the audit process, ensuring compliance, and signing the audit report.
Rotate
The process of turning or moving something around a central point or axis.
- Understand the implications of the Sarbanes-Oxley Act on the accounting profession and regulatory compliance.
Verified Answer
AG
Anubhav GogoiJun 13, 2024
Final Answer :
False
Explanation :
The Sarbanes-Oxley Act of 2002 requires that the lead audit partner and the reviewing audit partner rotate off the audit every 5 years, not every 3 years, to ensure independence and objectivity in the audit process.
Learning Objectives
- Understand the implications of the Sarbanes-Oxley Act on the accounting profession and regulatory compliance.
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