The Sarbanes-Oxley Act of 2002 was passed in response to ________.
A) insider trading activities
B) false disclosures in financial reporting
C) the decline in technology stocks
D) the agency issue

Question

Quizplus · Accepted Answer

The Sarbanes-Oxley Act of 2002 was passed in response to false disclosures in financial reporting, specifically in the aftermath of accounting scandals such as Enron and WorldCom. The act aimed to increase corporate accountability and transparency in financial reporting.

The Sarbanes-Oxley Act of 2002 Was Passed in Response to ________