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