Bondholders are creditors of the issuing corporation

Refer to Stevenson, Ross, and Warner. Which of the following represents a key component of the Sarbanes-Oxley Act relating to consulting services?

a. The SEC is required to establish a full-time five-member federal oversight board that will police the consulting industry. b. Accounting firms are prohibited from providing many types of consulting services to the companies they audit. c. Accounting firms who report violations of the Sarbanes-Oxley Act must be banned from consulting for five years. d. Consultants must maintain financial documents and audit work papers for fifteen years. e. A public corporation must change its lead consulting firm every five years.

Firm A wants to enter a foreign market and has a skill that is difficult to duplicate. Firm B desires this skill, so Firm A works with Firm B in an arrangement known as a joint venture

Indicate whether the statement is true or false