Which of the Following Statements Regarding Auditors Is FALSE

question 38

Multiple Choice

Which of the following statements regarding auditors is FALSE?

• A)The Sarbanes-Oxley Act called on the SEC to force companies to have audit committees that are dominated by outside directors and required that at least one outside director have a financial background.
• B)Whether information is material has been defined in the courts as referring to whether the information would have been a significant factor in an investor's decision about the value of the security.
• C)CEOs and CFOs must return bonuses or profits from the sale of stock or the exercise of options during any period covered by statements that are later restated.
• D)The law is especially strict with regard to takeover announcements,prohibiting any insider with nonpublic information about a pending or ongoing tender offer from trading on that information or revealing it to someone who is likely to trade on it.

---

Definitions:

Certified Nurse-Midwife

A nurse who has received special certification to assist in childbirth and provide general reproductive health care to women.

Clinical Nurse Specialist

An advanced practice registered nurse who focuses on improving patient outcomes by integrating care across healthcare sectors and specialties.

Certified Nurse Practitioner

A registered nurse who has advanced education and training in a particular area of healthcare, authorized to perform tasks beyond the scope of registered nursing.

Teamwork and Collaboration

The coordinated effort of a group of individuals working together towards a common goal, often found in healthcare settings to improve patient outcomes.