Big Four (or Big Five, Big Six, Big Eight)


DEFINITION of 'Big Four (or Big Five, Big Six, Big Eight)'

The largest accounting firms in the United States as measured by revenue.

BREAKING DOWN 'Big Four (or Big Five, Big Six, Big Eight)'

Most of the auditing for public companies is done by these firms. This term is constantly changing largely due to mergers. At one point the grouping was called the Big Eight, then Big Six, Big Five, etc.

  1. Middle Market Firm

    A firm with sizeable annual revenues, ranging from $50 million ...
  2. Audit Risk

    The risk that an auditor will not discover errors or intentional ...
  3. Audit

    1. An unbiased examination and evaluation of the financial statements ...
  4. Accounting

    The systematic and comprehensive recording of financial transactions ...
  5. Generally Accepted Accounting Principles ...

    The common set of accounting principles, standards and procedures ...
  6. Auditor's Report

    Recorded in the annual report, the auditor's report tests to ...
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  1. What is the average salary for an accountant?

    As with every career, the salary expectation for an accountant depends largely on the accounting position held. As of 2014, ... Read Full Answer >>
  2. Does working capital include salaries?

    A company accrues unpaid salaries on its balance sheet as part of accounts payable, which is a current liability account, ... Read Full Answer >>
  3. What is a profit and loss (P&L) statement and why do companies publish them?

    A profit and loss (P&L) statement, or balance sheet, is essentially a snapshot of a company's financial activity for ... Read Full Answer >>
  4. How do dividends affect the balance sheet?

    Dividends paid in cash affect a company's balance sheet by decreasing the company's cash account on the asset side and decreasing ... Read Full Answer >>
  5. Are dividends considered an expense?

    Cash or stock dividends distributed to shareholders are not considered an expense on a company's income statement. Stock ... Read Full Answer >>
  6. Do dividends go on the balance sheet?

    The only account recorded on the balance sheet, when dividends are declared and before they are paid out to a company's shareholders, ... Read Full Answer >>

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