Which of the following are main functions/purposes of the Sarbanes-Oxley Act of 2002?

a. To create rules to require brokers and dealers to provide information concerning prices and risks associated with the penny-stock market and to seek civil monetary penalties against those who violate such rules.

b. To increase corporate disclosure requirements and penalize violators of securities laws more heavily.

c. To issue cease-and-desist orders against violators of any federal securities law and to seek civil monetary penalties against any violators.

d. To permit the Securities and Exchange Commission to exempt persons, securities, and transactions from securities regulations, thereby promoting private-sector economic growth.

e. To decrease the regulatory authority of the Securities and Exchange Commission and to promote corporate self-regulation in terms of the issuance and sale of corporate stock.

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Anthony Clay

31 August, 18:41

Which of the following are main functions/purposes of the Sarbanes-Oxley Act of 2002?

a. To create rules to require brokers and dealers to provide information concerning prices and risks associated with the penny-stock market and to seek civil monetary penalties against those who violate such rules.

b. To increase corporate disclosure requirements and penalize violators of securities laws more heavily.

c. To issue cease-and-desist orders against violators of any federal securities law and to seek civil monetary penalties against any violators.

d. To permit the Securities and Exchange Commission to exempt persons, securities, and transactions from securities regulations, thereby promoting private-sector economic growth.

e. To decrease the regulatory authority of the Securities and Exchange Commission and to promote corporate self-regulation in terms of the issuance and sale of corporate stock.

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Answers (1)

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Jair Ibarra · Answer 1

Answer: B

Explanation:

The purpose is to address a series of perceived corporate misconduct and alleged audit failures (including Enron, Tyco, and WorldCom, among others) and to strengthen investor confidence in the integrity of the U. S. capital markets.