What is the primary provision of the Foreign Corrupt Practices Act?
A) To specify which corrupt practices are acceptable under U.S. law
B) To specify how to account for bribes paid by U.S. corporations to obtain business from foreign governments
C) To inform internal auditors how to detect fraud in multinational corporations
D) To prohibit U.S. companies from paying bribes to foreign government officials to obtain business

Question

Quizplus · Accepted Answer

The primary provision of the Foreign Corrupt Practices Act is to prohibit U.S. companies from paying bribes to foreign government officials to obtain business. This act applies to both U.S. companies and foreign companies traded on U.S. stock exchanges, and also includes accounting and record-keeping guidelines to prevent the concealment of bribes.

What Is the Primary Provision of the Foreign Corrupt Practices