The Foreign Corrupt Practices Act Requires ________

question 84

Multiple Choice

The Foreign Corrupt Practices Act requires ________.

• A) companies to cease conducting business with companies in some foreign countries
• B) companies to reject bribes from companies in foreign countries
• C) companies to have an appropriate system of internal controls
• D) companies to prepare a separate report on their accounting information system

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Definitions:

Par Value

The face value of a bond or stock as stated by the issuing company, unrelated to market value.

Premium

An amount paid in excess of the nominal or face value, often in relation to insurance or bonds.

Tax Deductible

Expenses or payments that can be subtracted from gross income to reduce the amount of income subject to taxation.

Term Bonds

Bonds that have a fixed maturity date on which the principal amount is due to be paid back to investors in full.