According to Zhang (2007),which of the Following Is Not a Negative

question 5

Multiple Choice

According to Zhang (2007) ,which of the following is not a negative effect of introducing the Sarbanes-Oxley Act (2002) in the US?

• A) The out-of-pocket compliance costs are significant.
• B) Executives complain that complying with the rules diverts their attention from doing business.
• C) The Act exposes managers and directors to lower litigation risks and penalties.
• D) CEOs take less risky actions, consequently changing their business strategies and potentially reducing firm value.

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Definitions:

Pharmaceuticals

Pharmaceuticals are medical drugs manufactured for diagnosis, treatment, or prevention of diseases, developed through extensive research and testing.

Natural Waters

Bodies of water found in nature, such as rivers, lakes, and oceans, which have not been significantly altered by human activity.

Elemental Symbol

A notation of one or two letters representing a chemical element derived from its current English name or historical Latin name.

Selenium

A non-metallic chemical element with properties similar to sulfur and tellurium, used in electronic components and as a dietary supplement.