Which of the Following Is True of the Sarbanes-Oxley Act

question 32

Multiple Choice

Which of the following is true of the Sarbanes-Oxley Act of 2002?

• A)The act requires at least 30 percent of the businesses in the United States to be formed as S corporations.
• B)The act requires a limited liability company to have a committee that consists of inside directors to oversee the firm's audits.
• C)The act requires a limited liability company to be taxed like a proprietorship.
• D)The act requires an S corporation to have more than 100 stockholders (members) and more than one type of stock.
• E)The act requires a publicly-traded corporation to hire an external auditing firm that renders an unbiased opinion concerning the firm's financial statements.

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Definitions:

Death

The end of life in an organism or the permanent cessation of all vital functions.

United States

A country located in North America, known for its diverse population, significant cultural influence globally, and as a federal republic composed of 50 states.

Psychoneuroimmunology

An interdisciplinary field studying the interactions between psychological processes, the nervous system, and the immune system.

Stress

A physical, mental, or emotional factor that causes bodily or mental tension, stemming from any event or thought that makes one feel frustrated, angry, or nervous.