Question

The Sarbanes-Oxley Act of 2002 was enacted in response to corporate scandals that largely centered on the quality of corporate financial disclosure and highlighted the inadequate oversight of management, auditors and the the Board of Directors of publicly held companies. The Sarbanes-Oxley Act addresses the problems related to inadequate board oversight by requiring public companies to have an:
a. Annual audit for all issuers.
b. Internal auditor.
c. Audit committee.
d. Independent Board of Directors.

Answer 1

Answer:

Audit committee.

Explanation:

correct option is c: audit committee.

Sarbanes-Oxley Act of 2002, order that every public-funded company to have one audit committee that must be independent of the company. It works as independently to find out about any foul practice that maybe happened in the organization.

The audit committee has the authority to make an appointment, oversight of work of the company.