As a Result of the Enron Scandal, Congress Passed the ________

question 65

Short Answer

As a result of the Enron scandal, Congress passed the ________ Act, increasing management responsibilities and liabilities regarding those involved in the finances of public companies.

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Definitions:

Expensed

Costs that are charged against income in the period they are incurred, rather than being capitalized and amortized over time.

Finite Life

Finite life refers to the fixed period during which an asset is expected to be useful before it becomes obsolete or its value is fully depreciated.

Intangible Assets

Non-physical assets that have value, such as patents, copyrights, trademarks, and goodwill.

Amortization Expense

Amortization expense is the gradual charging to expense of the cost of an intangible asset over its useful life.