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.

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Definitions:

Agency

The capacity of individuals or entities to act independently and make their own free choices.

Push-pull Interactions

Push-pull interactions refer to forces or influences that either attract (pull) or repel (push) organisms or elements, affecting their distribution and behavior in an environment.

Social World

The domain of human social life and interactions, shaped by social norms, cultures, and individual behaviors.

Civil Rights Activist

A person who campaigns for the rights of individuals to receive equal treatment and to be free from unfair treatment or discrimination.