Which One of the Following Is Not a Requirement Imposed

question 101

Multiple Choice

Which one of the following is not a requirement imposed by the Sarbanes-Oxley Act?

• A) Accounting firms may not offer other services to companies they audit.
• B) Any one individual is prohibited from serving as the chairman of a firm's board of directors for more than 5 years.
• C) A board's audit committee must consist of directors who are independent of the firm's management.
• D) Management must certify that the financial statements present a fair view of the firm's financial position.

Distinguish between status quo bias and omission bias in decision-making.

Analyze the characteristics and implications of being an entity theorist versus an incremental theorist.

Identify different forms of decision avoidance and their underlying reasons.

Understand how social psychology explains attraction and changes in perception under specific conditions.

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Definitions:

Groupthink

A psychological phenomenon where a group's desire for harmony or conformity results in an irrational or dysfunctional decision-making outcome.

Social Loafing

The tendency for people to work less hard in a group than when working alone.

Group Polarization

The tendency of a group to make decisions that are more extreme than the initial inclination of its members.

Social Loafing

The situation where persons demonstrate lower effort levels in pursuit of a goal as part of a group than they do when working individually.