Question: A long time client has been expanding rapidly and is considering taking the company public. The CEO is concerned about the increased costs of operating

A long time client has been expanding rapidly and is considering taking the company public. The CEO is concerned about the increased costs of operating a public company as a result of the Sarbanes Oxley Act. He is also concerned about the audit fees that have doubled because of internal control provisions of the Act and PCAOB No.5

The CEO wants you to explain possible effects on the audit of complying with the requirement of Sarbanes-Oxley. Outline the changes in the audit due to Sarbanes Oxley and PCAOB No 5

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