SOX Meaning and
Definition
-
SOX, also known as Sarbanes-Oxley Act, is a legislation that was passed by the United States Congress in 2002. It is named after its sponsors, Senator Paul Sarbanes and Representative Michael G. Oxley. The Sarbanes-Oxley Act was enacted in response to accounting scandals and corporate frauds, such as the infamous Enron and WorldCom cases, which severely damaged investor confidence.
SOX is a comprehensive financial reform aimed at establishing stricter standards for corporate governance, internal controls, and financial reporting. The primary objective of SOX is to enhance transparency, accountability, and accuracy in financial statements, ensuring the integrity of the financial system and protecting investors.
The act imposes various requirements on public companies, including the establishment of independent audit committees, regular internal control assessments, and the prohibition of certain non-audit services provided by auditors. SOX also mandates that companies maintain proper documentation of financial records and implement effective internal controls to mitigate fraud risks.
Compliance with SOX is mandatory for all publicly traded companies registered with the Securities and Exchange Commission (SEC). Failure to comply with SOX can result in severe penalties, including fines, imprisonment, and loss of market credibility. The act has had a significant impact on corporate behavior, accountability, and financial reporting practices, with the intention of preventing fraudulent activities and increasing investor confidence in the financial markets.
Common Misspellings for SOX
Similar spelling words for SOX
- Sogge,
- sojka,
- souza,
- Sook,
- soggy,
- soza,
- socha,
- soucy,
- souk,
- sock,
- souse,
- sough,
- SOCIA,
- sos,
- sousa,
- soak,
- SOSA,
- soja,
- so-so,
- SOK.
Conjugate verb Sox
CONDITIONAL
I
would sock
we
would sock
you
would sock
he/she/it
would sock
they
would sock
FUTURE
I
will sock
we
will sock
you
will sock
he/she/it
will sock
they
will sock
FUTURE PERFECT
I
will have socked
we
will have socked
you
will have socked
he/she/it
will have socked
they
will have socked
PAST
I
socked
we
socked
you
socked
he/she/it
socked
they
socked
PAST PERFECT
I
had socked
we
had socked
you
had socked
he/she/it
had socked
they
had socked
PRESENT
I
sock
we
sock
you
sock
he/she/it
socks
they
sock
PRESENT PERFECT
I
have socked
we
have socked
you
have socked
he/she/it
has socked
they
have socked
I
am socking
we
are socking
you
are socking
he/she/it
is socking
they
are socking
I
was socking
we
were socking
you
were socking
he/she/it
was socking
they
were socking
I
will be socking
we
will be socking
you
will be socking
he/she/it
will be socking
they
will be socking
I
have been socking
we
have been socking
you
have been socking
he/she/it
has been socking
they
have been socking
I
had been socking
we
had been socking
you
had been socking
he/she/it
had been socking
they
had been socking
I
will have been socking
we
will have been socking
you
will have been socking
he/she/it
will have been socking
they
will have been socking
I
would have socked
we
would have socked
you
would have socked
he/she/it
would have socked
they
would have socked
I
would be socking
we
would be socking
you
would be socking
he/she/it
would be socking
they
would be socking
I
would have been socking
we
would have been socking
you
would have been socking
he/she/it
would have been socking
they
would have been socking
Infographic
Add the infographic to your website:
