How have the new rules in the Sarbanes-Oxley Act of 2002 affected the way accounting departments and companies operate? What are some positive outcomes from these changes?© BrainMass Inc. brainmass.com June 4, 2020, 2:40 am ad1c9bdddf
The new rules that were established by SOX affect public companies in several ways. One of the main effects of SOX has been what is a disadvantage, and it is called the "cost of compliance." SOX is very costly to implement, and all public companies have no choice. Due to the expense of implementing SOX, when it first was enacted, many smaller companies took their stock off the market, simply because they couldn't afford to be SOX complaint, and they became private companies. It also has changed accounting ...
The solution provides a detailed discussion examining how the rules in the Sarbanes-Oxley Act of 2002 affected the way accounting departments and companies operate and what the positive outcomes are from the changes.