Which of the Following Was Not a Result of the Sarbanes-Oxley

question 38

Multiple Choice

Which of the following was not a result of the Sarbanes-Oxley Act?

• A)The COO assumes financial statement responsibility.
• B)There are new requirements for CPA firms.
• C)There are stiffer consequences for white-collar crimes.
• D)Audit committees must be independent.

---

Definitions:

Retained Earnings

The portion of net income that is kept by a company rather than distributed to its shareholders as dividends, used for investment or paying off debt.

Social Insurance Contributions

Payments made to social security systems by employers, employees, or the self-employed, used to fund public programs such as pensions, unemployment benefits, and health care.

Transfer Payment

Payments made by the government to individuals for which no good or service is provided in return, such as welfare benefits.

Capital Equipment

Assets used by businesses to produce goods and services, such as machinery, tools, and buildings.