Economic effects of SOX Section 404 compliance: A corporate insider perspective

被引:67
作者
Alexander, Cindy R. [1 ]
Bauguess, Scott W. [1 ]
Bernile, Gennaro [2 ]
Lee, Yoon-Ho Alex [3 ]
Marietta-Westberg, Jennifer [1 ]
机构
[1] US Secur & Exchange Commiss, Wa, DC 20549 USA
[2] Singapore Management Univ, Lee Kong Chian Sch Business, Singapore 178899, Singapore
[3] Univ So Calif, Gould Sch Law, Los Angeles, CA 90089 USA
关键词
Corporate governance; Internal controls; Regulation; Sarbanes-Oxley; Section; 404; SARBANES-OXLEY ACT; INTERNAL CONTROL; QUALITY; INFORMATION; MARKET; CERTIFICATION; EARNINGS; CONSEQUENCES; GOVERNANCE; DISCLOSURE;
D O I
10.1016/j.jacceco.2013.09.002
中图分类号
F8 [财政、金融];
学科分类号
0202 ;
摘要
We use survey responses from 2,901 corporate insiders to assess the costs and benefits of compliance with Section 404 of the Sarbanes-Oxley Act. The majority of respondents recognize compliance benefits, but they do not perceive these benefits to outweigh the costs, on average. This is particularly true among smaller companies where the start-up costs are proportionately larger. However, the perceived efficiency of compliance increased with auditor attestations, years of compliance experience, and after the remediation of a material weakness. Notably, the perceived effects of compliance depend largely on firm complexity, but are mostly unrelated to firm governance structure. (C) 2013 Elsevier B.V. All rights reserved.
引用
收藏
页码:267 / 290
页数:24
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