The Sarbanes-Oxley Act has improved transparency, but investors may still have limited information about publicly traded firms.

Question

Quizplus · Accepted Answer

The Sarbanes-Oxley Act has indeed improved transparency and accountability in how companies report their financials. However, despite these improvements, there can still be limitations on the amount and type of information available to investors about publicly traded firms, due to factors like competitive secrecy, the complexity of financial disclosures, and potential gaps in regulatory requirements.

The Sarbanes-Oxley Act Has Improved Transparency, but Investors May Still