The Sarbanes-Oxley Act (SOX)requires Each Issuer of Securities to Disclose

question 83

True/False

The Sarbanes-Oxley Act (SOX)requires each issuer of securities to disclose whether is has adopted a code of ethics for its senior financial officers and the contents of that code.

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Definitions:

Notes Receivable

Claims held by a party for payments due from debtors, usually evidenced by a formal instrument of indebtedness such as a promissory note.

Allowance Method

An accounting approach to managing bad debts by estimating and recording uncollectable accounts receivable as an expense before the debts are known to be uncollectable.

Bad Debts Expense

The cost associated with the portion of accounts receivable that is estimated to be uncollectible during a fiscal period.

Uncollectible Account

A receivable that is considered uncollectible from a debtor, usually displayed as an expense.