What Sarbanes Oxley Act of 2002 (SOX) (briefly)?
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What is SOX after all? Is it an unnecessary and unreasonable interference with the market, or is it a necessary response to the threat to investor confidence caused by the accounting scandals? Should investors have concerns about the markets when large, publicly traded companies had published financial data that was false? What would a reasonable investor do given that knowledge?
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Solution Summary
One paragraph in everyday language describes Sarbanes Oxley Act of 2002 (SOX).
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SOX was a law intended to increase the quality of financial reporting by supervising the auditing profession, by changing rules about audits, and by increasing sanction for false ...
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