Audit Market Survey: Surprising Results!
Published on Fri, Dec 21,2012 | 17:52, Updated at Thu, Dec 27 at 15:18Source : Moneycontrol.com
Grant Thornton commissioned an independent survey to gauge sentiments of the business community globally on the audit profession and the audit market, including specific issues such as audit market concentration, audit firm rotation, joint audits and restrictions on non-audit services. The key findings of the report are:
• A large majority (79%) of Indian businesses, significantly higher than the global average (54%), believe it would help market confidence if every large public company was audited by two firms rather than one.
• A majority of businesses in India (66%) support mandatory rotation of audit firms to address the risks of 'over familiarity' between the auditor and the audited company.
• A majority (55%) of Indian businesses support restrictions on non-audit services to be provided to audit clients At a global level, there is no clear consensus with 34% of respondents in agreement, 29% in disagreement and 29% who are neutral
• (90%) of businesses across India believe that there needs to be a more diverse audit market for a strong audit market framework. The proportion of Indian businesses with such a view is significantly higher than the global average (68%).