If a Publicly Traded Corporation Misstated Its Accounting Filings to the SEC,the

question 23

Multiple Choice

If a publicly traded corporation misstated its accounting filings to the SEC,the "clawback" provision in the Sarbanes-Oxley Act gives the corporation certain rights to recover:

• A) Profits earned from the exercise of stock options by the company's CEO and CFO only
• B) Profits earned from the exercise of stock options by all of the company's officers who serve in financial reporting oversight roles
• C) Profits earned from the exercise of stock options by all of the company's officers and directors who serve in financial reporting oversight roles
• D) Profits earned from the exercise of stock options by all company personnel who were involved in the preparation of, or content determination of, the company's financial statements

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Definitions:

Stop And Frisks

A police procedure where individuals are stopped and searched for weapons or contraband based on reasonable suspicion.

Supreme Court

The highest judicial body in a country, typically having the ultimate authority in interpreting the constitution and laws.

Police Corruption

The abuse of police authority for personal gain or to gain advantage for the police organization.

Code Of Silence

A cultural norm among certain groups, particularly in law enforcement or other organizations, not to report on a colleague's errors, misconduct, or crimes.