Which of the following statements is true of a public company's financial statements?
A) Sarbanes-Oxley requires the CEO only to certify the financial statements.
B) Sarbanes-Oxley requires the CFO only to certify the financial statements.
C) Sarbanes-Oxley requires the CEO and CFO to certify the financial statements.
D) Sarbanes-Oxley neither requires the CEO nor the CFO to certify the financial statements.

Question

Quizplus · Accepted Answer

Sarbanes-Oxley requires both the CEO and CFO to certify the financial statements of a public company. This requirement aims to ensure the accuracy and reliability of the financial statements and to prevent fraud or misrepresentation. The certification involves a statement that the financial statements fairly present the company's financial condition, results of operations, and cash flows in accordance with generally accepted accounting principles (GAAP). Failure to comply with this provision of Sarbanes-Oxley can result in civil or criminal penalties, as well as damage to the company's reputation and investor confidence.

Which of the Following Statements Is True of a Public