Mixed Feelings About Sarbanes-Oxley Free Essay, Term Paper and Book Report
Mixed Feelings About SOX
The Cost, the Benefits, and the Impact of the Sarbanes-Oxley Act of 2002
Finance for Non-Financial Managers (MSM 9015)
Eric Pendleton
February 18, 2007
The Sarbanes-Oxley statute (SOX) is one of the most powerful — and controversial — pieces of corporate legislation ever to have been enacted. SOX has supporters and detractors; yet most experts fall somewhere in between. When looking at the growing dollars and time spent on SOX compliance, public companies have become increasingly frustrated with these corporate-reform costs since the law’s passage in 2002. These costs have had unforeseeable effects on business, and on the US financial market as a whole.
The SEC did not provide specific guidance on what to do and how to do it. Therefore, the cost of implementing Section 404 (internal control rules) is only one of the unplanned consequences that hit the corporate sector as the new regulations were put in place. These costs are high because accountants, auditors, and managers are creating the rules and simultaneously learning how to implement them in ......
Word Count: 1879
Page Count: 7.5 (250 words a page / double spaced)
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