What Is the Main Purpose of the Sarbanes-Oxley Act of 2002

question 3

Multiple Choice

What is the main purpose of the Sarbanes-Oxley Act of 2002?

• A) to increase the accuracy and reliability of corporate disclosures of financial information
• B) to ensure that CEOs are adequately compensated for the risks they face in terms of corporate governance
• C) to amend NAFTA to be more favorable to U.S. interests
• D) to limit the ability of drug companies to engage in direct-to-consumer advertising
• E) to limit the ability of the media to obtain confidential corporate information

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Definitions:

Sternberg

Refers to Robert Sternberg, a psychologist known for his theory on love and intelligence, which includes components such as the triangular theory of love and the triarchic theory of intelligence.

Gardner

Howard Gardner, an American developmental psychologist best known for his theory of multiple intelligences, which suggests that individuals have various distinct types of intelligence.

Creative People

Individuals characterized by their ability to produce work that is both novel and appropriate in the context of its use.

Validity

The degree to which a tool, test, or study accurately measures what it is intended to measure or achieves what it intends to achieve.