Sarbanes Oxley

Sarbanes-Oxley Act of 2002 Sarbanes-Oxley Act of 2002, often referred to as SOX, is the most further reaching legislation since the Great Depression of the 1930s. Sox sign-language(a) by President George Bush on July 30th 2002, was in response to the loss of confidence by American and impertinent investors in publicly traded companies. The Act contains reforms intended to toughen provisions that deter and punish corporeal and accounting fraud. SOX is designed to change the quality of financial reporting by public corporations, confound auditing firms and corporate executives accountable. In an attempt to achieve the goals of Sox the Act created a Public Company Accounting Oversight Board to compel accounting standards, ethics, and increase the competence of the accounting profession. It requires a great degree of independence of firms that audit public corporations. Corporations are essential to increase their responsibility in financial disclosures. SOX increased the penalties for the corporate executives for wrongdoing. The come on has investigative and enforcement powers to oversee the accounting industry, with discipline authority. The board is comprises of five members, with only twain being present or former CPAs. The appointment to the board is a beat era position and no members are allowed to serve more than two terms.

The boards various duties include but not be circumscribed to the following: * Have accounting firms that audit public corporations be registered. * Create or adopt, auditing quality control, ethics, independence standards, and other standards for the proviso of audit reports. * Inspections of the registered accounting firms. * Investigate accounting firms and public corporations that perish to comply with SOX, and impose appropriate sanctions when justified. * Establish and follow a budget for the board. A review of some of the SOX sections, Section 301 requires the geological formation of an independent audit committee. The members of the... If you want to get a full essay, order it on our website: Ordercustompaper.com

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