Impact of the Sarbanes-Oxley Act (SOX) - UK Essays.

The Sarbanes-Oxley Act of 2002, also known as the SOX Act, is enacted on July 30, 2002 by Congress as a result of some major accounting frauds such as Enron and WorldCom. The main objective of this act is to recover the investors’ trust in the stock market, and to prevent and detect corporate accounting fraud.

Sarbanes-Oxley Act has ensured that the Chief Financial Officer is either more knowledgeable or at the very least wants to be more knowledgeable about the internal controls within the company. If there is a particular control that is not gaining the needed result then a change can be made prior to the end of the year when a negative opinion from an outside auditor could make things worse.

Sarbanes-Oxley Act Article Essay Sarbanes-Oxley Influence Duration Essay. Minority 404 of the Sarbanes-Oxley Influence This duration critique is on the duration written by David S. Addington designated “Congress Should Repeal or Fix Minority 404 of the Sarbanes-Oxley Influence to Help Restraintm Labors.”.

Essay The Sarbanes Oxley Act Of 2002. The Sarbanes-Oxley Act of 2002 is a United States federal law that set new or expanded requirements for all U.S. public company boards, management and public accounting firms. This was made in direct reaction to the financial crisis of the early 2000’s.

The Sarbanes-Oxley Act was signed by President George W. Bush in 2002, and became effective on July 30th of that year. The Sarbanes-Oxley Act, which is often times referred to as “SOX”, was an act that set forth records management as well as retention policies for all public companies.

Sarbanes-Oxley Act of 2002 Project Description Write a paper that describes the main aspects of the regulatory environment which will protect the public from fraud within corporations, Pay particular attention to SOX requirements.

The purpose of this paper is to highlight the benefits of the Sarbanes-Oxley Act of 2002 in terms of corporate accounting practices and provide analysis on how the Sunbeam scandal would have been affected by this act. Benefits of the Sarbanes-Oxley Act of 2002 The Sarbanes-Oxley Act (SOX) was enacted on July 30, 2002.

The Sarbanes-Oxley Act The Sarbanes-Oxley Act of 2002(SOX which is also known as the Public Company Accounting Reform and Investor Protection Act was enacted in July, 30, 2002 as a prompt response to the financial crimes scandals (Adelphia, Enron, WorldCom, Peregrime Systems, Arther Anderson and Tyco International).

Altogether, the Sarbanes-Oxley Act of 2002 has imposed tremendous new duties and cost on public companies and accounting firms, while the people involved are still unaware about whether the money, time and focus on the Sarbanes-Oxley Act of 2002 are worth the benefits that were sacrificed.

Regrettably, the Sarbanes-Oxley Act has shown that self-interest has been the source of many misfortunes in the society such as frauds and greediness in corporations. The article supports the Sarbanes-Oxley Act because it features numerous benefits of its reforms to corporations and how it is phasing out problems such as fraud.

The Sarbanes-Oxley Act has helped to boost accountability on accounting and auditing of public companies by providing guidance on internal control in an organization (Soni and Soni, 2015). This essay compares and contrasts the views of management and accountants based on the changes required by the Sarbanes-Oxley Act on internal controls and the impact of the Act on corporations.

According section 201 of the Act, auditors are prohibited from providing lucrative consulting services to the firms they audit. Prior, to the enactment of the Sarbanes- Oxley Act, auditors enjoyed consulting services with corporations, a factor that compromised their ability to report unethical financial practices by the companies.