The Sarbanes-Oxley Act in 2002 was primarily prompted by which one of the following from the 1990s?
A)Increased stock market volatility
B)Corporate accounting and financial fraud
C)Increased executive compensation
D)Increased foreign investment in U.S.stock markets
E)Increased use of tax loopholes

Question

Quizplus · Accepted Answer

The Sarbanes-Oxley Act was enacted in response to major corporate and accounting scandals, including those involving Enron and WorldCom, which shook public confidence in financial reporting and led to significant financial losses.

The Sarbanes-Oxley Act in 2002 Was Primarily Prompted by Which