A wave of accounting scandals around the turn of the 21st century prompted which of the following?
A)XBRL
B)IFRS
C)SOX
D)ISO

Question

Quizplus · Accepted Answer

The wave of accounting scandals around the turn of the 21st century prompted the US government to pass the Sarbanes-Oxley Act (SOX) in 2002. SOX introduced strict regulations on financial reporting and established the Public Company Accounting Oversight Board (PCAOB) to oversee the audit of public companies. XBRL (choice A) is a standardized reporting language that was introduced after the accounting scandals, but it was not prompted by them. IFRS (choice B) is a set of international accounting standards that has been in development since the 1970s and is not directly related to the accounting scandals. ISO (choice D) is a set of international standards for quality management, environmental management, and other areas, and is also not related to the accounting scandals.

A Wave of Accounting Scandals Around the Turn of the 21st