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1. Introduction to Accounting1h 21m
2. Transaction Analysis1h 13m
3. Accrual Accounting Concepts2h 38m
4. Merchandising Operations2h 30m
5. Inventory1h 55m
6. Internal Controls and Reporting Cash1h 16m
7. Receivables and Investments3h 8m
8. Long Lived Assets5h 1m
9. Current Liabilities2h 19m
10. Time Value of Money1h 23m
- Time Value of Money Equations
  35m
- Using Time Value of Money Tables
  47m
11. Long Term Liabilities2h 45m
12. Stockholders' Equity2h 15m
13. Statement of Cash Flows2h 24m
14. Financial Statement Analysis5h 25m
15. GAAP vs IFRS56m

6. Internal Controls and Reporting Cash

Sarbanes-Oxley Act

Financial Accounting

6. Internal Controls and Reporting Cash

Sarbanes-Oxley Act

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Multiple Choice

The Sarbanes-Oxley Act is intended to strengthen protection against:

Tax evasion by individual taxpayers

Environmental pollution by corporations

Unfair labor practices

Corporate fraud and financial misreporting

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Understand the purpose of the Sarbanes-Oxley Act (SOX): It was enacted in 2002 in response to major corporate scandals (e.g., Enron, WorldCom) to improve corporate governance and accountability.

Recognize the key focus of SOX: The act is designed to prevent corporate fraud and financial misreporting by implementing stricter regulations and oversight mechanisms for public companies.

Identify the mechanisms introduced by SOX: These include requirements for accurate financial reporting, internal controls, and independent audits to ensure transparency and accountability.

Clarify what SOX does not address: The act does not focus on tax evasion, environmental pollution, or unfair labor practices, as these are governed by other laws and regulations.

Conclude that the correct answer is corporate fraud and financial misreporting, as SOX specifically targets these issues to protect investors and restore trust in financial markets.