(855) 4-ESSAYS

Type a new keyword(s) and press Enter to search

The Sarbanes-Oxley Act (2002)

            The Sarbanes-Oxley Act was named after senator Paul Sarbanes from Maryland and senator Michael Oxley from Ohio who were the co-sponsors of the act. This act, also known as the "Public Company Accounting Reform and Investor Protection Act," was enacted because of some of the major corporate and accounting scandals. The government wanted to find a way to reduce these types of scandals from happening because it cost the investors billions of dollars. Through enacting this law the government is hoping that less scandals will appear because of the tight guidelines and strict punishment, which is presented in the Sarbanes-Oxley Act. .
             The Act was widely accepted by congress and passed Senate with a 99 to 1 vote and House of Representatives with 423 in favor. Something had to be done because to many people were losing money and companies were producing fraudulent numbers, which were misleading. The Sarbanes-Oxley Act has eleven sections which state different rules, regulations, and punishments. This act however has faced mixed feelings because on the one hand it helped restore public confidence in big publically traded company however it has also made the price of doing business very high and too high for many companies. .
             Since the creation and adoption of the Sarbanes-Oxley Act many business have changed the way they operate internally and externally because of they must make sure they comply with this act. A study in 2007 showed that the cost of compliance with the SOX Act for large companies that make around 5 billion can be up to 3 million. (Fei.mediaroom.com.) Due to the demands of the SOX Act companies have to reach out externally and even sometimes move their company overseas. After the act was passed the number of American companies deregistering for public stock exchange almost tripled from pervious years. This act was so expensive because companies are forced to get more eyes on their financial statements by paying additional accounting firms to look over company's statements.


Essays Related to The Sarbanes-Oxley Act (2002)

1. The Sarbanes-Oxley Act of 2002

Altogether the Sarbanes-Oxley Act of 2002 has imposed tremendous new duties and cost on public companies and accounting firm, 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. ... Effectiveness of SOX Against Fraud The Sarbanes-Oxley Act of 2002 have somewhat changed public companies, which is undisputable. ... The net effect of the Sarbanes-Oxley Act of 2002 was considered to be too much of an implement. ... The Sarbanes-Oxley Act off 2002 made it justifiable that people would have...

  • Word Count: 1417
  • Approx Pages: 6
  • Has Bibliography
  • Grade Level: Undergraduate

2. Legislation of The Sarbanes-Oxley Act of 2002

After the controversial scandals of organizations such as Enron, WorldCom, and Tyco, the Sarbanes-Oxley Act became law and procedure on July 30, 2002. ... 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. ... Effectiveness of SOX Against Fraud The Sarbanes-Oxley Act of 2002 have somewhat changed public companies, which is undisputable. ... The net effect of...

  • Word Count: 1379
  • Approx Pages: 6
  • Has Bibliography
  • Grade Level: Undergraduate

3. Computer Security

Some of these acts include: the Patriot Act, the E-Government Act, and the Education Reform Act. ... E Government Act The passage of the E-Government Act of 2002 displayed great initiative by our government during the expansion of the Internet. ... Patriot Act of 2002 In the light of war and terrorism, many Americans are becoming ever-increasingly apprehensive as to what our government is doing in order to prevent another tragedy such as September 11th from repeating itself. With these growing concerns, came the ratification of the USA Patriot Act of 2002. ... Education Sciences Reform ...

  • Word Count: 1438
  • Approx Pages: 6
  • Grade Level: Undergraduate

4. Age Discrimination

Age Discrimination Employment Act. ... The Act uses the enforcement provisions of the Fair Labor Standards Act and covers employers who have 20 or more employees for at least 20 weeks in a year, labor unions of 25 or more members, and employment agencies (Levin, 2002). ... In 1978, amendments to the ADEA extended the protection of the act by raising the upper limit of the covered age group from 65 to 70, and prohibited involuntary retirement at any age before 70 (Kinney & Smith, 2002). ... Remedies available under the ADEA are similar to those available under the Equal Pay Act. ... Now whe...

  • Word Count: 1141
  • Approx Pages: 5
  • Has Bibliography
  • Grade Level: Undergraduate

5. Campaign

The Senate passed the House version of Bipartisan Campaign Reform Act by a vote of 60-40. ... On March 27, 2002 President Bush signed into law the new Bipartisan Campaign Reform Act of 2002. ... The act also provides a new definition of campaign ads versus issue ads. ... Later the Senate approved the House version on March 20, 2002. ... The Supreme Court with the ruling of 5-4 declared it constitutional and hence the Bipartisan Campaign Reform Act of 2002. ...

  • Word Count: 1437
  • Approx Pages: 6

6. Popular Culture and Schooling

"Every new media changes us" (Jan 5 2004, notes), it changes the way we look, and the way we act. ... (Nelson 2002, pg 68). In turn, television presents a curriculum, it teaches us how to act how to discriminate and how to present ones-self. ... (Nelsen 2002, pg 99) Thus, completely adding disregard to the "say no to drugs" slogan. ... (Nelsen 2002, Schooling as Entertainment, Cedarcreek Publications, Kingston Ontario) ...

  • Word Count: 1233
  • Approx Pages: 5
  • Grade Level: High School

7. Biotech Food Labels Act of 2002

Imagine what it would be like if the food industry boomed, if foods contained more nutrients than before, and if world hunger wasn't such a monstrous problem. That could happen if you pass the Biotech Food Labels Act of 2002. You would be ensuring that the testing is accurate and that every biotech ...

  • Word Count: 461
  • Approx Pages: 2
  • Grade Level: High School

8. Sarbanes-Oxley Act

On July 30, 2002 President Bush signed the Sarbanes-Oxley Act of 2002. ... (Kadlec, 2002) ii. ... (Kadlec, 2002) iv. ... (Kadlec, 2002)To prevent future catastrophes, the Sarbanes-Oxley Act was created. ... (Forbes, 2002 September 10) The act of limitations has also been increased from 1 year from the discovery of fraud to two years and the limitations on the act have been increased to 5 years from 3 years. ...

  • Word Count: 1972
  • Approx Pages: 8
  • Grade Level: Undergraduate

9. Sarbanes-oxley Act

The Sarbanes - Oxley Act of 2002 was signed into law in July 2002. It makes the most significant changes in corporate governance since the Securities Act of 1933 and the Securities Exchange Act of 1934. ... Part of the charge was under "the executive certification" clause of the Sarbanes - Oxley Act. ... The Sarbanes - Oxley Act of 2002 was government's intervention into market problems caused by the bankruptcy of Enron and WorldCom. ... (Winter 2002). ...

  • Word Count: 720
  • Approx Pages: 3
  • Grade Level: Undergraduate

10. The Sarbanes-Oxley Act

Introduced in July 2002, caused a major change in corporate governance and in the financial areas of business in U.S exchange. Previous to this act, many businesses were involved or associated with extortion, leading to the act that will attempt to re-gaining the confidence of investors The Sarbanes-Oxley Act "Public Company Accounting Reform and Investor Protection Act of 2002" (in the Senate) and also called "Corporate and Auditing Accountability and Responsibility Act" (in the House), the Sarbanes-Oxley Act was approved by the House by a vote of 334 to 90 and also appr...

  • Word Count: 1466
  • Approx Pages: 6
  • Has Bibliography
  • Grade Level: High School

Got a writing question? Ask our professional writer!
Submit My Question