chap 4 sarbanes oxley and realted independece requirments

Question 1

auditors of public companies must also comply withthe independence requirements of who? (3)

Answer 1

1. sarbanes oxley act 2. PCAOB 3. SEC

Question 2

Sarbanes-Oxley and the SEC restrict the nonaudit services to audit clients of public companies. what are the services that are prohibited (9)

Answer 2

1. bookingkeeping and otehr accounting services 2. fianical info system design and implement 3. appraisal or valuation services 4. actuarial services 5. internal audit outsourcing 6. management or human resources functions 7. broker, dealer, investment adviser or invest banker services 8. legal and expert services unrelated to audit 9. any other service PCAOB says is impermissable can provide thse for private companies or public companies that are not audit clients

Question 3

sarbanes oxley requires that the audit committee of the public company be responsible for what?

Answer 3

the appointment, compensation, and oversight of the auditor