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What are the three main factors that affect the structure of all CPA firms?
-the need for independence from clients
-the importance of a structure to encourage competence
-the increased risk of litigation
What are the six main organizational structures of a CPA firm?
Proprietorship
General partnership
General corporation
Professional corporation
LLC
LLP
What is the PCAOB?
It is the Public Company Accounting Oversight Board. It was created by SOX and is responsible for establishing auditing, attestation and QC standards for audits. In addition, it performs inspections of audit engagements.
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