Due to Various Fraudulent Business Practices and Accounting Coverups in the Early

question 29

Multiple Choice

Due to various fraudulent business practices and accounting coverups in the early 2000s, Congress enacted the Sarbanes-Oxley Act of 2002.The act was responsible for establishing a new oversight board for public accountants called the:

• A) Generally Accepted Accounting Practices for Public Accountants Board.
• B) Public Company Accounting Oversight Board.
• C) Congressional Accounting Oversight Board.
• D) Financial Accounting Standards Board.

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Definitions:

Accounts Receivable

Amounts owed to a business for services performed or goods delivered.

Percentage Increase

A measure of how much a certain quantity grows over a specific period, expressed as a percentage of the original amount.

Balance Sheet

A financial statement that summarizes a company's assets, liabilities, and shareholders' equity at a specific point in time.

Return on Investment

A measure used to evaluate the efficiency or profitability of an investment, calculated as net profit divided by initial cost.