Which of the Following Statements About the Sarbanes-Oxley Act Is

question 27

Multiple Choice

Which of the following statements about the Sarbanes-Oxley Act is incorrect?

• A) The act was passed in 1996.
• B) Because the act is complex, compliance is more expensive and time consuming for corporate management.
• C) Because of the act, the SEC was required to establish a federal oversight board.
• D) Because of the act, a corporation's chief executive and financial officers must certify financial reports.
• E) The act strengthened the penalty for destroying financial documents related to an audit.

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Definitions:

Same-sex Civil Unions

Legal relationships offered by some jurisdictions to same-sex couples, providing rights and responsibilities similar to those of marriage, but without the designation of marriage.

Slight Majority

A small more than half portion of a group or quantity, indicating a narrow margin over the minority.

Americans

are citizens of the United States of America or individuals closely associated with the country.

Bad Debts

Accounts receivable that a company does not expect to collect because customers are unable to pay their debts.