Asked by Jarrett Goggin on Mar 10, 2024
Verified
The internal control standards applicable to Sarbanes-Oxley apply to
A) all U.S. and international companies.
B) U.S. and international companies listed on U.S. exchanges.
C) International companies listed on U.S. exchanges.
D) U.S. companies listed on U.S. exchanges.
Internal Control Standards
The policies and procedures implemented by a company to ensure the integrity of financial and operational information, promote accountability, and prevent fraud.
Sarbanes-Oxley
The Sarbanes-Oxley Act is a U.S. federal law enacted in 2002 to protect investors by improving the accuracy and reliability of corporate disclosures made pursuant to securities laws, and to prevent corporate and accounting fraud.
U.S. Exchanges
Marketplaces in the United States where securities, options, and futures are traded.
- Explore and elucidate the divergence and convergence of Generally Accepted Accounting Principles (GAAP) with International Financial Reporting Standards (IFRS).
- Understand the roles and objectives of financial auditing.
Verified Answer
NM
nancy marie
Mar 10, 2024
Final Answer :
D
Explanation :
The internal control standards applicable to Sarbanes-Oxley apply to U.S. companies listed on U.S. exchanges. While international companies listed on U.S. exchanges do need to comply with certain requirements under Sarbanes-Oxley, not all of the internal control standards apply to them.
Learning Objectives
- Explore and elucidate the divergence and convergence of Generally Accepted Accounting Principles (GAAP) with International Financial Reporting Standards (IFRS).
- Understand the roles and objectives of financial auditing.