The Sarbanes-Oxley Act of 2002 has:
A)reduced the annual compliance costs of all publicly traded firms in the U.S.
B)decreased senior management's involvement in the corporate annual report.
C)greatly increased the number of U.S. firms that are going public for the first time.
D)decreased the number of U.S. firms going public on foreign exchanges.
E)made officers of publicly traded firms personally responsible for the firm's financial statements.

Question

Quizplus · Accepted Answer

The Sarbanes-Oxley Act of 2002 has made officers of publicly traded firms personally responsible for the firm's financial statements, thereby increasing accountability and transparency. This has helped to restore investor confidence in the U.S. financial markets. However, it has also increased compliance costs for firms and reduced the number of U.S. firms going public on foreign exchanges. It has not decreased senior management's involvement in the corporate annual report and has not led to an increase in the number of U.S. firms going public for the first time.

The Sarbanes-Oxley Act of 2002 Has