Which of These Is Not Generally Regarded as a Reason

question 12

Multiple Choice

Which of these is not generally regarded as a reason for the spate of dubious accounting practices by public companies which led to the enactment of the Sarbanes-Oxley Act in the USA and similar legislation in other jurisdictions?

• A)Pressure on managers to meet investors' unrealistic expectations for continually rising profits.
• B)Greed by executives.
• C)Lack of accounting standards.
• D)Too rapid growth financed by borrowing, which leads to a liquidity crisis.

---

Definitions:

Salesperson

An individual who sells products or services directly to customers, often aiming to meet specific sales targets.

Lighter

A portable device used to create a flame for the purpose of lighting something, such as a cigarette or a candle.

Problem

An obstacle or issue that needs resolution or management, often requiring analysis and decision-making efforts.

Customer Mentioned

When a customer is referenced or talked about, particularly in the context of feedback, reviews, or marketing analysis.