In the wake of accounting
scandals over the past several years, how has the Sarbanes-Oxley Act (SOX) of
2002 affected the practice of accounting? What is the role of internal controls
in complying with SOX (2002)?.
Developed in reaction to many corporate claims of fraudulent behaviors regarding financial concerns, Sarbanes-Oxley Act requires security policies and controls that provide confidence within the accuracy of financial statements and public disclosure to stakeholders. additionally, SOX gave birth to he PCAOB, tasked with oversight and regulatory compliance enforcement. As a result of this act, organization are obligated to ensure financial intergrity through auditing and monitoring as internal controls.