Private companies and nonprofit organizations are also influenced by the Sarbanes-Oxley Act's accounting and corporate governance rules.

Question

Quizplus · Accepted Answer

The Sarbanes-Oxley Act applies to all publicly traded companies and their auditors, but it has also had an impact on private companies and nonprofits through increased scrutiny of financial reporting and corporate governance practices. In certain cases, private companies have voluntarily adopted Sarbanes-Oxley-like controls to improve their transparency and accountability.

Private Companies and Nonprofit Organizations Are Also Influenced by the Sarbanes-Oxley