All of the following requirements about internal controls were enacted under the Sarbanes Oxley Act exceptGroup of answer choicescompanies must develop sound internal controls over financial reporting.companies must continually assess the functionality of internal controls.independent outside auditors must attest to the level of internal control.independent outside auditors must eliminate redundant internal controls.

Internal controls are concerned withGroup of answer choicesonly manual systems of accounting.the extent of government regulations.safeguarding assets.preparing income tax returns.

Which two requirements must management of public companies meet under the Sarbanes-Oxley Act?Choose 2 answers They must be rotated every five years. They must support a stronger board and audit committee. They must provide an assessment of the effectiveness of internal controls with each annual report. They must authorize any loans to members of the board of directors.

The components of internal control areMultiple choice question.required by the SEC.based on the ethical tone set by management.required by the American institute of Certified Public Accountants.required by state law.

The auditor shall obtain an understanding of the major activities that the entity uses to monitor internal control over financial reporting, but excluding those related to those control activities relevant to the audit.Select one:TrueFalse

Which two requirements must accounting firms that audit public companies meet under the Sarbanes-Oxley Act?Choose 2 answers Firms must not provide certain nonaudit services to audit clients, such as management functions or legal services. Firms must not audit the same public company for more than five consecutive years. Firms must report to and be retained by the audit committee rather than the CFO or other company management. Firms must help to develop and enforce a code of ethics on audit clients.