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Sarbanes-Oxley separated consulting firms from auditing firms due to problems stemming from conflicts of interest. Do...

Sarbanes-Oxley separated consulting firms from auditing firms due to problems stemming from conflicts of interest. Do auditing firms review pro forma financial statements?

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Yes, auditing firms do review pro-forma financial statements. Main work of audiiting firms is to audit/check if the financial transactions are conformed to the accounting practices and principles and to be taken forward to the financial statements.

However, the auditing firms review pro-forma financial statements only for the current year (year for which the returns have to be filed); which is not in the case of consulting firms which may involved in forecasting financial statements for the future as well for, say, raising of funds (equity/debt).

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