Section 404 of the Sarbanes-Oxley Act of 2002 Is Considered

question 47

Multiple Choice

Section 404 of the Sarbanes-Oxley Act of 2002 is considered controversial because:

• A)sensitive corporate information has to be published,which may be detrimental to a company.
• B)a company has to significantly increase its budget to comply with Section 404.
• C)the procedure for complying with Section 404 is lengthy,complicated,and time consuming.
• D)Section 404 results in diminished corporate responsibility of the officers of a company.

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Definitions:

Gallons

A unit of volume measurement used primarily in the United States, defined as 231 cubic inches or approximately 3.785 liters.

Ambrosia

In classical mythology, the food of the gods, which conferred immortality; in general usage, something very pleasing to taste or smell.

Plowshares

Metal blades fitted to a plow, used in farming to cut through the soil.

Comparative Advantage

The ability of an entity to produce goods or services at a lower opportunity cost than other entities, leading to more efficient economic exchanges.