Selected sections of the Sarbanes-Oxley Act follow:

Public Law 107-204—July 30, 2002

Section 1. Short title. This Act may be cited as the ‘‘Sarbanes-Oxley Act of 2002’’

Required

a. The Sarbanes-Oxley Act refers to ‘‘the Commission’’ in several sections. To what Commission is the Sarbanes-Oxley Act referring?

b. Describe the responsibility of the Commission in relation to the ‘‘Board.’’

c. Describe the Board.

d. Describe the duties of the Board.

e. Who must register with the Board?

f. Describe the Board’s responsibility as to the inspection of those registered with the Board.

g. Describe the responsibilities of the Board in relation to auditing standards.

h. Contrast the applicability of the Sarbanes-Oxley Act to domestic public accounting firms versus foreign public accounting firms.

i. Describe the recognition of accounting standards by the Commission as provided.

j. Comment on the funding for the:

1. Board.

2. Financial Accounting Standards Board.

k. Describe prohibited activities of the independent auditor. Can the independent auditor perform tax services for an audit client?

l. Describe management’s responsibility in relation to internal controls.

m. Speculate on why Title IV, Section 404, ‘‘Management Assessment of Internal Controls,’’ has received substantial criticism.