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GenaCL600 [577]
3 years ago
15

The Roland Company needs to comply with the financial reporting standards of the Sarbanes-Oxley Act. One of the employees, Ken,

believes that the costs outweigh the benefits. However, his boss feels the opposite, that the benefits outweigh the costs. Who is correct? A : Ken is correct, as the costs outweigh the benefits. B : Neither of them is correct, as determining the costs of the Act is possible, but determining the benefits is not fully possible. C : Neither of them is correct, as determining the benefits of the Act is possible, but determining the costs is not fully possible. D : Ken’s boss is correct, as the benefits outweigh the costs.
Business
1 answer:
lesya692 [45]3 years ago
5 0

Answer:

The correct answer is letter "B": Neither of them is correct, as determining the costs of the Act is possible, but determining the benefits is not fully possible.

Explanation:

The Sarbanes-Oxley (<em>SOX</em>) Act Of 2002 is a legislative response to several corporate scandals that sent shock waves through the world financial markets. The SOX attempts to strengthen corporate oversight and improve internal control. The main purpose of SOX is to protect shareholders from fraudulent representation in corporate financial statements.

In regards to the <em>Roland Company</em> case, the cost of implementing SOX will be a more strict accounting and financial book-keeping. This could provide the company with more accurate information that helps to make better corporate decisions but the benefits cannot be fully measured.

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Answer:

d. It is best measured using the statistic variance inflation factor (VIF).

Explanation:

Multicollinearity is an important issue in multiple regression model, having many independent/ explanatory variables. Multicollinearity is the situation in which two or more independent variables are highly correlated. It is problematic because it increases the standard error of independent variable coefficient & undermines its statistical significance

Variance Inflation Factor [VIF] is a check & corrective measure of multicollinearity.  

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If a taxpayer's pension or annuity includes contributions that were previously included in gross income, the taxpayer may genera
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Many companies secure financing from various sources with various payback periods. Not all funding sources are the same, and in
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Answer and Explanation:

The classification of the funds as a short term or long term strategy as follows;

a. Line of credit = short term financing

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3. As the crisis in Venezuela deepened in late 2002 and early 2003, on January of 2003 the VEF was trading VEF1400/$. By Februar
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For us to calculate the percentage change, we have to deduct the trading for VEF in January from the trading for VEF in February and then divide by VEF trading in January. This will be:

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