Which of the Following Statements About the Sarbanes-Oxley Act of 2002

question 24

Multiple Choice

Which of the following statements about the Sarbanes-Oxley Act of 2002 is/are true?

• A) The Sarbanes-Oxley Act created the Public Company Accounting Oversight Board and set a new audit-reporting standard.
• B) The Sarbanes-Oxley Act created the mechanism for governmental supervision of the liquidation of Enron and Arthur Andersen.
• C) The Sarbanes-Oxley Act makes it easier for corporate executives to be tried and sentenced to jail for financial misconduct.
• D) a and b
• E) a and c

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Definitions:

Production Possibilities Curve

A graphical representation that shows the maximum possible output combinations of two goods or services an economy can achieve when all resources are fully employed.

Market Prices

The amounts at which goods and services can be bought or sold in open markets.

Resource Substitutability

The degree to which different inputs (or resources) can be substituted for one another in the production process.

Economic Resource

Any good or service that can be used to produce other goods and services, including labor, land, capital, and entrepreneurship.