Briefly describe the Sarbanes-Oxley Act and explain why it was passed
What will be an ideal response?
The Sarbanes-Oxley Act of 2002 was enacted as a safeguard against scandals like the accounting scandals of the early 2000s, and was intended to increase confidence in the U.S. corporate governance system. The act requires that CEOs personally certify the accuracy of financial statements and that financial analysts and auditors disclose whether any conflicts of interest might exist that would limit their independence in evaluating a firm's financial condition.
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When the Fed purchases government securities, it:
a. increases banks' reserves and makes possible an increase in the money supply. b. decreases banks' reserves and makes possible a decrease in the money supply. c. automatically raises the discount rate. d. uses discounting operations to influence margin requirements. e. has no effect on either the money supply or the discount rate.
Exhibit 11-11 Labor wage and cost data Labor Wage TWC MFC10 $ $ 50.00 $ 11 5.80 12 17.80 13 102.70 14 126.00 15 46.50 In Exhibit 11-11, the wage required to hire 12 employees is equal to:
A. $5.80. B. $6.00. C. $6.50. D. $6.80.