Appraise the Reporting Requirements of the Sarbanes-Oxley Act
The Sarbanes-Oxley Act requires companies to provide reports from management on the effectiveness of internal controls over financial reporting. Please visit the PCAOB website and review Standard 5. In addition, visit the SEC website and explore the Sarbanes-Oxley Act of 2002.
After visiting the PCAOB and SEC sites, evaluate the reporting requirements of the Sarbanes-Oxley Act regarding internal controls over financial reporting. Assess the financial statement requirements for public companies and non-public companies. How are the reporting requirements different for a public and non-public company? What would be the reporting guidelines for Anthony's Orchard?
Please help me in writing a response to how Anthony's Orchard's management should be reporting the effectiveness of their internal controls and top-management responsibilities.
Appraising and Reporting Requirements of the Sarbanes-Oxley Act
Publically Traded Companies
The key to maintaining accurate financial reporting is consistency throughout the reporting period, and successive reporting periods in the years that follow. Financial statements include a balance sheet, income statement, and cash flow statement. According to the Sarbanes-Oxley Act of 2002, all publically held companies are required to file reports to the Securities and Exchange Commission (SEC) (Public law 107 - 204, 2002). These requirements allow auditors to look at the financial reporting of the company and compare them with the reporting of other like firms. This further allows auditors to determine how the company lines up with other companies of the same capacity. While each ...
The solution assists with appraising the reporting requirements of the Sarbanes-Oxley Act.