The Sarbanes-Oxley Act
Which is not a provision of Sarbanes-Oxley?
Accounting firms are allowed to provide both auditing services and a full range of consulting services to their public company clients.
Which of the following is not one of the reduced opportunities for error and fraud introduced by the Sarbanes-Oxley Act of 2002?
Anonymous tip lines
Which of the following was required of a publicly traded company prior to the enactment of the Sarbanes-Oxley Act of 2002?
Audit of financial statements by external auditors
Who is subjected to fines and imprisonment for SOX violations?
Chief financial officer or chief executive officer
The Sarbanes-Oxley Act of 2002 (SOX) helps ensure the accuracy and integrity of companies' financial records. The __________ depend(s) the most on the accuracy of these documents.
Investors
The __________ make(s) decisions based on the reports, disclosures, and financial statements provided by corporations.
Investors
All of the following are changes introduced by the Sarbanes-Oxley Act of 2002 except __________.
Less oversight by directors
According to the Sarbanes-Oxley Act of 2002, who is primarily responsible for establishing and maintaining a system of internal control over the company's financial reporting?
Management
The Sarbanes-Oxley Act of 2002 requires all of the following to certify a public company's system of internal control, except for the __________.
Stockholders
Sarbanes-Oxley was passed in response to which of the following?
The accounting scandals of major U.S. companies
A person who tells the public or someone in authority about alleged dishonest or illegal activities occurring in a private company or organization is a(n) __________.
Whistleblower
SOX aims to __________.
maintain investor confidence and improve corporate governance