The Federal Act Which Requires Corporate Executives Like the CEO

question 76

Multiple Choice

The federal act which requires corporate executives like the CEO and CFO to sign off on reported financial information is the

• A) Fair Labour Standards Act.
• B) Credit Control and Reporting Act.
• C) Sarbanes-Oxley Act.
• D) Landrum-Griffin Act.
• E) Coltrane-Landy Act.

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Definitions:

Stockholders' Equity Accounts

These accounts represent the owners' equity in a corporation, including common stock, retained earnings, and additional paid-in capital.

Net Income

The net income a corporation earns once all costs, taxes, and expenses are deducted from the total revenue.

Earnings Per Share

A measure of a company's profitability, calculated as net income divided by the number of outstanding shares of its common stock.

Dividends

Funds disbursed to members of a corporation, commonly sourced from the company's profits.