Which of the following is one of the ways that the Sarbanes-Oxley Act sought to improve the accuracy of information given to both boards and shareholders?
A)by reducing the penalties to firms for providing false information
B)by increasing the independence of auditors and clients
C)by increasing the non-audit fees that an auditor can receive from a client
D)by forcing CEOs and CFOs to certify the accuracy of their firm's financial statements
E)by removing the requirement that firms include outside directors on audit committees

Question

Quizplus · Accepted Answer

The Sarbanes-Oxley Act implemented Section 302 and 906, which required CEOs and CFOs to certify the accuracy of their firm's financial statements, thus improving the accuracy of information given to both boards and shareholders. The Act did not reduce penalties for providing false information, increase non-audit fees or remove the requirement for outside directors on audit committees. It did, however, increase the independence of auditors and clients by creating the Public Company Accounting Oversight Board (PCAOB) to oversee auditors of public companies.

Which of the Following Is One of the Ways That