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Divyansh Patel
on Oct 23, 2024

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Which of the following statements about the Sarbanes-Oxley Act of 2002 is/are true?

A) The Sarbanes-Oxley Act created the Public Company Accounting Oversight Board and set a new audit-reporting standard.
B) The Sarbanes-Oxley Act created the mechanism for governmental supervision of the liquidation of Enron and Arthur Andersen.
C) The Sarbanes-Oxley Act makes it easier for corporate executives to be tried and sentenced to jail for financial misconduct.
D) a and b
E) a and c

Sarbanes-Oxley Act

A United States federal law enacted in 2002 aimed at protecting investors from fraudulent financial reporting by corporations.

Public Company Accounting Oversight Board

A nonprofit organization established by Congress to oversee the audits of public companies in order to protect the interests of investors and further the public interest in the preparation of informative, accurate, and independent audit reports.

Financial Misconduct

Engaging in wrongful or fraudulent activities related to monetary transactions or financial management.

  • Comprehend the legal frameworks, such as the Sarbanes-Oxley Act, that address ethical misconduct in corporations.
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Emily DahlstromOct 24, 2024
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