According to the Sarbanes-Oxley Act (SOX),who are the external auditors hired by and required to report to?
A)Audit committee.
B)Chief financial officer.
C)President of the company.
D)the Internal Revenue Service.

Question

Quizplus · Accepted Answer

The Sarbanes-Oxley Act (SOX) requires external auditors to report to the company's audit committee, which is composed of independent board members responsible for overseeing financial reporting and auditing. The audit committee is tasked with overseeing the financial reporting process, selecting and appointing the external auditor, and reviewing the results of the audit. The external auditor is required to communicate any findings, recommendations, or concerns directly to the audit committee.

According to the Sarbanes-Oxley Act (SOX),who Are the External Auditors