Public Companies: Major Changes in Financial Status and

School: Arizona Western College - Course: FIN 672 - Subject: Accounting

Public companies are required to regularly publish __________. major changes in financial status information investors would not use for decision making inaccurate financial information personal information Solution The correct answer is major changes in financial status Violations of securities regulations and laws include __________. driving citations bounced checks buying the wrong stock providing misleading information to investors Solution The correct answer is providing misleading information to investors Wrong Hide solution Question 2 The new accounting regulatory body brought about by Sarbanes-Oxley Act of 2002 (SOX) was __________. designed to provide third-party oversight Designed to provide loss oversight The PCDOB Designed to provide no oversight for auditors of public companies Solution The correct answer is designed to provide third-party oversight

Correct Hide solution Question 3 Some of the groups that worked to actively determine how to fix the system that permitted financial reporting abuses were __________. the federal government, American Institute of Certified Public Accountants (AICPA), FASD, and Securities and Exchange Commission (SEC) the Farmers Bureau, American Institute of Certified Public Accountants (AICPA), Financial Accounting Standards Board (FASB), and Securities and Exchange Commission (SEC) the federal government, Securities and Exchange Commission (SEC), Financial Accounting Standards Board (FASB), and the American Institute of Certified Public Accountants (AICPA) the federal government, American Institute of Certified Public Accountants (AICPA), Financial Accounting Standards Board (FASB), and SED Solution The correct answer is the federal government, Securities and Exchange Commission (SEC), Financial Accounting Standards Board (FASB), and the American Institute of Certified Public Accountants (AICPA) Correct Hide solution Question 4 Sarbanes-Oxley legislation ensured __________. independence of the auditor independence of the author encouragement for external auditors to be involved in nonaudit-related fraud firms providing audit services could provide nonaudit services