ACCT212 Course Discussions Week 3

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ACCT212 Course Discussions Week 3
In the context of the world of business, explain what we mean by the term “compliance…

SKU: ACCT 212 Compliance Sarbanes-Oxley Act Categories: , Tags: , ,

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ACCT212 Course Discussions Week 3

ACCT212 Course Discussions Week 3

All Students Posts – 112 Pages 

Compliance and the Sarbanes-Oxley (SOX) Act – 62 Pages

In the context of the world of business, explain what we mean by the term “compliance.” Relating to this, is anyone familiar with the Sarbanes-Oxley (SOX) legislation enacted by Congress in 2002? What was contained in this legislation and what prompted it? Can you provide a specific example of one of the major points of this legislation? Why was it enacted? Separately, does the term “compliance” apply to any other areas of business besides the SOX legislation?

The Sarbanes-Oxley Act of 2002 (SOX) is an act passed by U.S. Congress on July 30, 2002 to protect investors from the possibility of fraudulent accounting activities by corporations. The Sarbanes-Oxley Act of 2002, also known as the Corporate Responsibility Act of 2002, mandated strict reforms to improve financial disclosures from corporations and prevent accounting fraud.
The Act was responsible for sweeping reforms in the following four areas:
-Corporate Responsibility
-Increased Criminal Punishment
-Accounting Regulation
-New Protections
Section 302 of the Sarbanes-Oxley Act of 2002 is a mandate that requires senior management to certify the accuracy of the reported financial statement. The main purpose of SOX is to protect shareholders from fraudulent representations in corporate financial statements. Investors need to know that the financial information they rely on is truthful, and that an independent third party has verified its accuracy…

Course Project – 50 Pages 

Go to Course Home and review the Course Project Overview. Then download the Course Project template from Files. In this graded discussion, we will be examining the operation of the Accounting Information System (AIS) with the use of problems and exercises from your textbook. The goal is to cover all of the requirements to ensure an opportunity for your successful completion of the Course Project.

Let’s start with a review of the first three requirements of the Course Project. Explain why it is important to analyze each financial transaction of a business and to report it in the Accounting Information System. Suggestion: Revisit and review the Lessons in Weeks 1 and 2.

It is important to analyze each transaction because of the accounting equation.  It should be one of the first thing someone in a business do to make sure that assets= equity + liabilities stay in balance.  Knowing what transactions have taken place and getting them recorded correct can tell you a lot about how the transactions do affect the bottom line on a business…