A Major Advantage of the Sarbanes-Oxley Act of 2002 (SOX)

question 30

Multiple Choice

A major advantage of the Sarbanes-Oxley Act of 2002 (SOX) is:

• A) good investor protection
• B) increase in compliance costs
• C) that it constrains managers' ability to run the firm
• D) that it may discourage development of human capital in the firm

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Definitions:

Cataracts

A medical condition characterized by the clouding of the eye's natural lens, leading to decreased vision.

Tonometer

An instrument for determining pressure or tension, especially determining ocular tension.

Retinoscope

An instrument used by eye doctors to shine a light into the patient's eye to observe the reflection from the retina, helping to determine the patient's prescription for glasses or contact lenses.

Ophthalmoscope

A hand-held instrument with a light; used to view inner eye structures.