Publication Date
Fall 12-9-2023
Document Type
Student Project
First Advisor
Churyk, Natalie
Degree Name
B.S. (Bachelor of Science)
Department
Department of Accountancy
Abstract
This paper aims to address the reasons why Ernst & Young attempted to split their auditing and consulting services, the reasons why the split failed to materialize, and the resulting consequences. Research for the paper involved a literature review of relevant articles and subsequent discussion. This paper concludes that the attempted split was motivated by regulatory concerns regarding auditor independence and profitability gaps between assurance and consulting. This paper also concludes that the split was unsuccessful due to unfavorable economic conditions and the mechanics of partner compensation.
Recommended Citation
Jovanovich, Jacob, "Ernst & Young’s Attempt to Split Accounting and Consulting Services: An Unsuccessful Endeavor" (2023). Honors Capstones. 1486.
https://huskiecommons.lib.niu.edu/studentengagement-honorscapstones/1486
