All of the Following Are Requirements of the Sarbanes-Oxley Act

question 187

Multiple Choice

All of the following are requirements of the Sarbanes-Oxley Act (SOX) except:

• A)tip lines that allow employees to secretly submit concerns about questionable accounting or auditing practices.
• B)fines of up to $5 million plus repayment of any fraud proceeds.
• C)evaluation and reporting on the effectiveness of internal control over financial reporting for large public companies by external auditors.
• D)evaluation and reporting on the effectiveness of internal control over financial reporting for all public companies by management with disclosure that management is not responsible for the internal control system.

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Definitions:

Compounded Annually

Refers to the process of earning interest on both the initial principal and the accumulated interest from previous periods, calculated once per year.

Simple Interest

Interest earned or paid that is not compounded, and is based only on the principal amount.

Rate of Interest

The percentage of an amount of money which is charged for its use per period, often annually.

Future Value

The future valuation of an asset or cash that has the same worth as a particular sum at present.