About the Book
Please note that the content of this book primarily consists of articles available from Wikipedia or other free sources online. Pages: 107. Chapters: Accelerated depreciation, Accounting equation, Accounting period, Accounts payable, Accounts receivable, Account (accountancy), Accrual, Accrued liabilities, Adjusted basis, Adjusting entries, Amortization (business), Asset, Auditor's report, Balance (accounting), Balance sheet, Bill and hold, Capital appreciation, Capital expenditure, Capital surplus, Cash flow, Cash flow forecasting, Cash flow statement, Chart of accounts, Checkoff, Clean surplus accounting, Comparison of cash and accrual methods of accounting, Constant purchasing power accounting, Cost of goods sold, Debits and credits, Double-entry bookkeeping system, FIFO and LIFO accounting, Financial accountancy, Financial audit, Forensic accounting, Fund accounting, Generally accepted accounting principles, General ledger, Goodwill (accounting), Historical cost, Impairment cost, Internal audit, International Financial Reporting Standards, International Standards on Auditing, Management accounting, Management discussion and analysis, Mark-to-market accounting, Matching principle, Mergers and acquisitions, Notes to financial statements, Record to report, Revenue center, Revenue recognition, Sarbanes-Oxley Act, Statement of changes in financial position, Statement of retained earnings, Statement of Total Recognised Gains and Losses, Stranded asset, Tax accounting in the United States, Trade credit, Trial balance, Voluntary disclosure, XBRL. Excerpt: The Sarbanes-Oxley Act of 2002 (Pub.L. 107-204, 116 Stat. 745, enacted July 30, 2002), also known as the 'Public Company Accounting Reform and Investor Protection Act' (in the Senate) and 'Corporate and Auditing Accountability and Responsibility Act' (in the House) and more commonly called Sarbanes-Oxley, Sarbox or SOX, is a United States federal law that set new or enhanced standards for all U.S. public company boards, management and public accounting firms. It is named after sponsors U.S. Senator Paul Sarbanes (D-MD) and U.S. Representative Michael G. Oxley (R-OH). As a result of SOX, top management must now individually certify the accuracy of financial information. In addition, penalties for fraudulent financial activity are much more severe. Also, SOX increased the independence of the outside auditors who review the accuracy of corporate financial statements, and increased the oversight role of boards of directors. The bill was enacted as a reaction to a number of major corporate and accounting scandals including those affecting Enron, Tyco International, Adelphia, Peregrine Systems and WorldCom. These scandals, which cost investors billions of dollars when the share prices of affected companies collapsed, shook public confidence in the nation's securities markets. The act contains 11 titles, or sections, ranging from additional corporate board responsibilities to criminal penalties, and requires the Securities and Exchange Commission (SEC) to implement rulings on requirements to comply with the law. Harvey Pitt, the 26th chairman of the SEC, led the SEC in the adoption of dozens of rules to implement the Sarbanes-Oxley Act. It created a new, quasi-public agency, the Public Company Accounting Oversight Board, or PCAOB, charged with overseeing, regulating, inspecting and disciplining accounting firms in their roles as auditors of public companies. The act also covers issues such as auditor independence, corporate governance, internal control assessment, and enha
