the-external-auditor-of-a-company-has-certain-requirements-due-to-sarbanes-oxley-which-of-the-follow

Question

The external auditor of a company has certain requirements due to Sarbanes-Oxley. Which of the
following best describes these requirements?
A. The auditor is required to only report weaknesses in the internal control design of the company he or she is auditing.
B. The auditor must issue an internal control report on the evaluation of internal controls overseen by the Public Company Accounting Oversight Board
C. The auditor in charge can serve for a period of only two years.
D. The Public Company Accounting Oversight Board reviews reports submitted by the auditors when no evaluations have been performed.

Puneet Prajapati · Accepted Answer

book. It&#x27;s OVI are going to understand the concept of stock market today. Ordered by that. Do you understand? They regulate Lee expects off the same. Okay. Yeah, the first to the market in vintage by us foreign sailors by busy big by. Okay, sell the secure peace. A deep, best possible place. Okay, Gessel, in a general sense, everyone is familiar with the stock market, which is basically a main platform. Who pays fires. Okay. For many types of business ventures, that supposed date is there is a person who is William, who is willing to start his business. But this now short of place. So they issued Eagle. You should put the stock market who raised difference by showing different types off financial instruments. But who gets the stock market? There are only shares which can be issued by the company. Who is who is having short of funds. Okay. No. What is the stock market? It refers to the market. Okay. In which buyers and sellers by physically who by and sell the securities? What type of securities unleash years in stock market? There are delicious and the best possible place. Okay. Know what happens? There is a authority. Also, there are many specks. Little to stock market. Let&#x27;s see, there are insider treaty. What is it? Insider duty? See, uh, there are many big companies that are listed on stock exchanges. Okay, so what happens? Vendor Vendor Rizzo Inherent excess off employees walking in Those corporations who are listed on the stock exchanges manipulate the stock prices on the stock market because of having inherent access to public sensitive information. Okay, that information, which is not required to be disclosed to the public. So there comes insider trading so inside that is used for employee employer off the company whose shares understood on the stock exchange. OK, so an employee who is having access to such sensitive information would likely to be, you know, manipulate the prices on the stock exchange and data they come. Also, buyer and seller protection perfection. There are a lot off intimate trees in mourning. The stock market process, like portfolio manager and mutual fund distributors stalled, broke. Okay, so there are many types of intimately involved in the stock market. Now what happens? Buyers and sellers dealing with such time of intermediaries will not be fooled. Okay, so that is Why the responsible authority? Okay, prepared rules regarding that on So, Captain, there are also revelations. Let it took capital raising. I&#x27;m treating. Okay, So if you have family with the stock market, you will be knowing that they&#x27;re not different. Timings off opening and closing off the market like me have general linings off market and of it, you know, walls. So they are similar timings available in the stock market. Okay. And there are many dives off trading regulations developed by the competent authority. Okay, so we have understood this down, this one and this one all in one. Okay. Relation to with respect, relation to stop. However, the rules regarding these three will only be they&#x27;ve learned by one authority that we know as Securities and Exchange Commission. Okay, because it is the authority which has been designated by government, who would take such decisions and frame the use According Okay, So we have derived. Never solution. OK? And that this and that matches shore. Leave it. Joyce. Be okay. So you can write down sheet crunchy on your books for future difference, however, are incorrect choices. Joy, speed. That&#x27;s all forever. Solution. Thank you.

Alexander Cheng · Answer

The question here basically gives a scenario of accounting where accounting staff processes payments of about 120 orders a day. So, um, the question here wants us to propose a sampling strategy for the supervisors. So what we can do is known as a a cluster sample technique through which we&#x27;d essentially, if we know that we take about 120 orders per day here and we want to recheck 10 of these particular orders, we can essentially just do a random number calculator, for example in this particular case, So every for example, um, one every state, 12th order. So let&#x27;s say we tell you good 12th order and then 24th and then 36 etcetera. So this is going to give us a pretty good representative of this particular, uh, check for part B here. It asks us to answer how we modify this tragedy if the company makes both wholesale and retail sales. So what we can do is to use a stratified a random sample. So what a stratified random sample is, of course, is going to be random sample based on various factors. So we&#x27;re gonna take each individual categories and we take a sample from there

Puneet Prajapati · Answer

so we will understand the meaning law. Well, we can see the concept off Dimension reporting Antarctica. Okay, so it is the authority which issues financial accounting standards or give within which every entity, every business, entity, every form, every corporation has to function. Okay, these war gets die lives. Okay, so standards, I would guess, guidelines for every form. So that so what is so that investors deception off and these financial were beaten. Okay, so we have concluded out so that that this entity issues those standards which workers guidelines for every form so that it could try to improve the perception about and this financial position for for investors. Okay. Because in Leicester, sever final and complete state in every entity. Because a lesson until investors will invest their investment amount. Okay, so the business could not be commenced. So therefore, such a voter d book the work with the prime objective off strengthening their perception about entreaties. Farage imposition. Okay, so that matches with choice. Okay, choice here. See, it means the correct choices. Choice E which says that statement statement in a option and see option. Both are correct. So Choice E is the correct answer, however, you can try Poor time Britain so far for reference. So the correct solution we ever identified as Choice E. That&#x27;s all.

Puneet Prajapati · Answer

No, let&#x27;s understand this solution from the given ing some elected. Suppose we have into t X bye and sick exes dealing in furniture in sickness and by is dating in construction. Insect is dealing in. That&#x27;s it building. So what will happen? The gas, Mr Church, Or these have been new structure. They live in the structure. Or we can say that revenue recognition, instability We were different in this case. In this case, in this the expensive recognition structure. Well, we&#x27;re different in this case, in different in this case, this case and why? Why doesn&#x27;t it happen? Let&#x27;s understand. Date is an entity which feet last fsb financial. Thank you. Standards boot this entity Shoes stand good in relation, following in relation to fall in the circulation off expenses. And you know what happens that when such an entity will issue standard village of different or North district uniforms? Sanders for this hanky, I want the sanctity of this entity. They will be nor difference. Or we can say there will be complete transparency in revenue recognition structure for this entity. This and this. And apart from these entities, you even have complete transmitting seeing it evasion of a ninja statements. No, who will be required to comply with the standards? Let&#x27;s just also understand back. So an inter dude an entity gap stuck news. You know what will happen? So the case off the given problem the execution is Hey, the correct solution is which states that if Angelica stand for export the Financial Cody&#x27;s 100 sports, it&#x27;s an English plane. And given you and non profitable organization, it sets the standers sexy convention reporting standards for different entities fall in the gap. So the car exhibitionists Thank you.

Bharat Koirala · Answer

welcome. So the lesson do you do, we&#x27;ll be talking about Solvents Oxley act on the reason it was faster with. So let me start with you what the Solvents Oxley Act is. The Solvents Oxley Act is an act blocks away U S government in on July 22,002. It waas the act passed by the US Congress toe control the corporate first, I&#x27;m punish the people control on burnished the people, punish the people in modeling it. So this act defines any types off Mrs Grandison off financially statements off the public company misuse of the money on by such companies Starting money in Mr by public in size companies is getting no offense okay on this act, but in assisting people involved in such activities, I mean, such actually activities represents t cooperate frost. This on the company&#x27;s can Mr represent the finest restatements on falsify their financial statements on take already money off people from the companies for their own arsenal interests. So this act defines all the activities off Mississippi in dealing. I&#x27;m falsifying the financial restatements after public companies 40 benefit off the people are they benefit off the executives often company is a criminal offense on this act. Also next, the way to punish the people involved in such activities. So silent sexual act it&#x27;s not is this act that in process is on perishing, defenseless treatments that can be busy level that are pretty evil. Fine, strong is it of the SEC discloses. Now we&#x27;ll talk about why it was passed in the early 21st century. Many dying off. Little credit companies were involved in the high profile corporate First, the these go tips off the companies like Enron. Well, come on, Piper International, we&#x27;re in moulding corporate first with they falsified on mis represented the financial instruments after term bunny. I&#x27;m it&#x27;s told in millions off dollars from the company a down. I use that for the one personal benefit. Okay, so in this rigor, there was a need off a law that could control this. These kinds of activities I&#x27;m is a reason off that the Solvents Oxley act waas bust. Yeah, I&#x27;m Basically it aims to protect the investors from the fraudulent financial reporting by the companies on safeguarded money. Off the investors go This act waas basically intended for the public companies, many Office Provident applies to the private and other companies is well, so let me discuss on the reasons for the enactment off this act in the way it forms there. So Solvents Oxley Act was enacted for ah, to mention since the very first reason was to improve the reliability of me, probably cos with probably and corrected correctly, the border financial statements. So according to this six and clear with two Off Solvents Oxley Act, it is a glass the senior corporate officers to certify personally in writing about the financial statements presented for the public is correct. Accurate? I&#x27;m strongly I did do SEC discloses the requirement you any of the financial statements presented are proved to be incorrect? Are our group to falsify? Then the officers are the executives who certifies such financial statement or his subject to criminal charges and penalties. These were the first reason on this Second reason for the enactment Off Sorrows Oxley Act is to the study confidence and trust of the public to work. The company&#x27;s financial report after the globally can only faced the copper forced by Enron. Welcome. I could wrestle in the early 21st century, many after public lose their confidence. The companies he started losing the probably confidence people did not have any trust to ask the company&#x27;s financial reporting. Okay, and for this it was necessary to taking meters toe rebuilt e probably confidence in the corporate financial statements. So the Service Oxley Act was enacted on not one of this. This act also overhaul all the world the military standards used in financial reporting. This act also adopted various strict rules for corporate officers. Are you just off the company on the accountants for the record keeping on imposed? He&#x27;s strict requirements for a Jew, and deer is a precondition, often financial rapers. When the financial records were closely monitor Vaidi regular two bodies it the the act of falsifying are Mrs Blending defines any statements? Were Ricky minimized? I if someone was foundling violating such requirements? Such requirements means the requirements off sec. I know the regular two bodies. Then they would have to 50 criminal charges. It&#x27;s under this section. Four or four Salvant Sox select six and 404 Off service ox lacked recourse management and our leaders to establish two metres for internal control on reporting. So it is to in 30. Education to control. No. Let me conclude the this case in the game. So Solvents Oxley Act is an act to prevent and control the cover force that can happen by Mr Planting. They finally statement falsifying the financial statements. I&#x27;m not falling the accurate standards correctly. If this act merely focuses on corporate responsibility, increased criminal punishment, accounting regulations on the new protection for the stakeholders. So this is all about the Servants Oxley Act on the reason it was passed. I hope this is clear. Thank you.

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Petty cash is used to ________. A. avoid having …

Problem 12 Easy Difficulty

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Mitchell Franklin, Patty Graybeal, Dixon Cooper

Principles of Accounting Volume 1: Financial Accounting

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Principles of Accounting Volume 1: Financial Accounting

Mitchell Franklin, Patty Graybeal, Dixon CooperPrinciples of Accounting Volume 1: Financial Accounting

Mitchell Franklin, Patty Graybeal, Dixon Cooper

Principles of Accounting Volume 1: Financial Accounting