What Argument Can Be Made That Sarbanes-Oxley May Not Be

question 63

Multiple Choice

What argument can be made that Sarbanes-Oxley may not be effective in reducing fraud?

• A) It is not as stringent as international standards
• B) The SEC has had many laws for many years that have not seemed to make much of a difference
• C) The penalties under Sarbanes-Oxley are especially stringent, so it may not be enforced
• D) Civil and criminal penalties are not effective in preventing financial fraud

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Definitions:

Mutual Consent

An agreement between parties where all individuals involved have a clear understanding and agree on the same terms and conditions.

Emancipated

The legal process by which a minor achieves legal independence and is released from the control and responsibility of their parents or guardians.

Employed

The state of being engaged in work or activities for which one receives compensation, typically in the form of salary or wages.

Certain Age

Refers to a specific time of life at which individuals may reach milestones, become eligible for certain rights, or be subject to certain laws.