Audit Fee

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Audit Fee

A fee a company pays an external auditor in exchange for performing an audit. Because the Sarbanes-Oxley Act made audits more complex, audit fees have increased significantly in the United States since 2001.
References in periodicals archive ?
Among the challenges experienced by the Office of the Auditor-General is its funding model that relies on audit fees in exclusion of benefit from the fiscus.
HOW INTERNAL AUDITOR BONUSES IMPACT EXTERNAL AUDIT FEES
Chief executive officers with lower integrity cost their firms money, both in higher audit fees and poorer long-term performance, according to new research from a group of leading accounting professors, including University of Virginia School of Business Professor Shane Dikolli.
According to a 2017 survey of 161 US public companies conducted by The Financial Executives Research Foundation, audit fees averaged $7.4 million, with a median of $2.8 million.
Jeong, et al., "The Effect of Mandatory Auditor Assignment and Non-Audit Service on Audit Fees: Evidence from Korea," International Journal of Accounting, February 2005, http://bit.ly/2sVNgzx).
'Any punishment for Deloitte and KPMG by MIA if needed, it must fit the audit fees the two firms billed 1MDB,' he said.
This nomination committee will present the proposals for approval by the Annual General Meeting 2019 regarding proposal for chairman of the meeting; proposal for the chairman of the board of directors and members of the board of directors; proposal for compensation to the board of directors, distinguishing between the chairman and other members of the board and compensation for committee work (if any); and proposal for company auditor (if needed) and audit fees for the company's auditor.
Any information that helps clarify the risk of the firm should influence the audit risk and consequently the audit fees that are imposed.
Additionally, audit fees increased for the year ended December 31, 2017 as we became larger and more complex.
"The complexity and volume of auditing and accounting regulations are increasing while the pressure on audit fees from clients continues," said Dalimil Draganovsky, partner and head of assurance at EY in Slovakia.
Sesay told audience Thursday, 15 February when he appeared on Prime FM that the GAC is not allegedly depositing audit fees in government account, urging the Ministry of Justice to act upon this information.
Carcello, Hermanson, Neal, and Riley (2002) finds that firms are willing to pay high audit fees in order to receive good quality of audit service.