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The Sarbanes-Oxley Act (SOX) Requires Each Issuer of Securities to Disclose

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The Sarbanes-Oxley Act (SOX) requires each issuer of securities to disclose whether it has adopted a code of ethics for its senior financial officers and the contents of that code.


Definitions:

Net Income

The amount of money that remains after all expenses, taxes, and costs have been subtracted from a company's total revenue.

Total Equity

The total net worth of a company, calculated as the difference between total assets and total liabilities.

Profit Margin

A financial metric that measures the amount of net income earned with each dollar of sales by calculating the percentage of profit generated from revenue.

Return On Assets

A ratio that measures a company's net income relative to its total assets. It indicates how efficiently a company is using its assets to generate profits.

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