The Maximum Penalty for Securities Fraud Under the Sarbanes-Oxley Act

question 4

Multiple Choice

The maximum penalty for securities fraud under the Sarbanes-Oxley Act is ________ in prison.

• A)10 years
• B)25 years
• C)35 years
• D)45 years

---

Definitions:

Annual Depreciation

The yearly accounting charge representing the cost allocation of the value of an asset over its useful life.

Common Size Balance Sheet

A balance sheet where all entries are expressed as a percentage of total assets, facilitating comparison across time and companies.

Total Assets

The sum of all assets owned by an entity, including cash, investments, inventory, and fixed assets.

Total Equity

The total value of a company's assets minus its total liabilities, representing the owners' equity in the company.