The SOX Act of 2002???
what are 3 major components of the act??
- Anonymous10 years agoFavorite Answer
Sarbanes-Oxley Act passed July, 30, 2002. I was officially called the "Public Company Accounting Reform and Investor Protection Act" in the Senate and the "Corporate and auditing Accountability and Responsibility Act" in the House.
It contains 11 titles so naming 3 major components is a matter of opinion. However, it did accomplish this:
more accurate and reliable financial statements from companies.
address auditor conflicts of interest by prohibiting auditors from holding consulting contracts with the firms they are auditing. This was the problem with Arthur Anderson and Enron.
ensures standard data entry systems to cut down on investor confusion.
This all improved investor confidence until the market fell apart later in the decade.Source(s): wikipedia/sarbanes-oxley act