Which of the following laws makes it mandatory for organizations to demonstrate that there are controls in place to prevent misuse or fraud,controls to detect any potential problems,and effective measures to correct any problems?
A) Sarbanes-Oxley Act
B) Trade Expansions Act of 1962
C) Electronic Communications Privacy Act of 1986
D) Central Intelligence Agency Act
E) USA Patriot Act

Question

Quizplus · Accepted Answer

The Sarbanes-Oxley Act (SOX) was passed in 2002 after several high-profile cases of corporate accounting fraud. Under SOX, organizations are required to demonstrate that there are controls in place to prevent misuse or fraud, controls to detect any potential problems, and effective measures to correct any problems. The act applies to all public companies and requires senior executives to certify the accuracy of financial reports. Failure to comply with SOX can result in hefty fines or imprisonment.

Which of the Following Laws Makes It Mandatory for Organizations