The Sarbanes-Oxley Act requires management to certify that it has informed the auditor and audit committee of any
A)related party transactions.
B)significant deficiencies in business practices.
C)significant deficiencies in internal controls.
D)specific business or industry risk.

Question

Quizplus · Accepted Answer

The Sarbanes-Oxley Act requires management to certify that it has informed the auditor and audit committee of any significant deficiencies in internal controls. This requirement is aimed at ensuring that companies have strong internal controls to prevent fraud and other financial misconduct. The Act also requires auditors to report on the effectiveness of a company's internal controls, making management's certification an important part of the overall auditing process. Related party transactions and specific business or industry risk are also important disclosure requirements under the Act, but they do not specifically relate to management's certification obligations.

The Sarbanes-Oxley Act Requires Management to Certify That It Has