Which of the Following Is Not a Requirement of SOX

question 94

Multiple Choice

Which of the following is not a requirement of SOX Section 404?

• A)Evaluate the design of the company's controls to determine if they adequately address the risk that a material misstatement of the financial statements would not
• Be prevented or detected in a timely manner.
• B)Gather and evaluate evidence about the operation of controls.
• C)Implement key controls to determine their operating efficiency.
• D)Present a written assessment of the effectiveness of internal control over financial reporting.

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Definitions:

Revenue

The total amount of money generated by a company from its business activities, such as sales of goods or services, before any expenses are subtracted.

Price Inelastic

Describes a situation where the demand for a product does not change significantly when its price changes.

Tax Revenue

The financial earnings governments receive via taxing.

Perfectly Price Inelastic

A situation where the quantity demanded of a good or service does not change in response to a change in price.