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Sarbanes Oxley Act: SOX Corporate Governance

Instructions:
  • Answer 50 questions in 15 minutes.
  • If you are not ready to take this test, you can study here.
  • Match each statement with the correct term.
  • Don't refresh. All questions and answers are randomly picked and ordered every time you load a test.

This is a study tool. The 3 wrong answers for each question are randomly chosen from answers to other questions. So, you might find at times the answers obvious, but you will see it re-enforces your understanding as you take the test each time.
1. Additional shares of stock distributed as a dividend






2. The SEC regulations to not require companies to follow what?






3. Voucher System






4. A duty that directors and officers have not to act adversely to the interests of the corporation and to subordinate their personal interests to those of the corporation and its shareholders






5. SOX creates __ for company representatives.






6. The employee must file a notice with the administrative law judge assigned to the original complaint __ days before filing the lawsuit.






7. A system in which each shareholder votes the number of share he or she own on candidates for each of the positions open - also called noncumulative voting






8. Bank statement






9. Objectives of Internal Control






10. What are the conditions under which OSHA will investigate individual complaints?






11. A rule that says directors and officers are not liable to the corporation or its shareholders for honest mistakes of judgment






12. SOX deadlines


13. A requirement that a greater than majority of shares constitutes a quorum of the vote of the shareholders






14. The criminal provision of SOX






15. Special-purpose cash funds






16. SOC record keeping requirements






17. What is one of the most important controls to protect cash received in over-the-counter sales?






18. The employee is required to do what relative to protected whistleblowers?


19. The employee must also service the notice on whom?






20. If OSHA investigates - it will issue findings and a preliminary order within __ days after the complaint is filed.






21. An arrangement in which the shareholders transfer their stock certificates to a trustee who is empowered to vote the shares






22. A member of a board of directors who is not an officer of the corporation






23. A doctrine that says if a shareholder dominates a corporation and uses it for improper purposes - a court of equity can disregard the corporate entity and hold the shareholder personally liable for the corporation's debts and obligations - also calle






24. Meetings of a shareholders that may be called to consider and vote on important or emergency issues - such as a proposed merger or amending the articles of incorporation


25. Audit committee


26. 'The employee's claim of shareholder fraud does not have to be correct.'






27. A lawsuit a shareholder brings against an offending party on behalf of a corporation when the corporation fails to bring the lawsuit






28. To be protected by sox an employee must do one of what activities?






29. Voucher






30. Why did Congress pass SOX?






31. Personal liability provision






32. Sox important Organizations that you must know






33. A date specified in corporate bylaws that determines whether a shareholder may vote at a shareholders' meeting






34. A panel of decision makers who are elected by the shareholders






35. If a public company fails to adopt the complaint procedures mandated by SOX what may happen?






36. Employees wishing to bring a lawsuit claiming they were discriminated or retaliated against in violation of SOX's whistleblower protection must first do what?


37. What about an employee whose complaint is based on a feeling or hunch - in the absence of any evidence?






38. Employees of a corporation who are appointed by the board of directors to manage the day-to-day operations of the corporation






39. Elements of Internal Control






40. The penalties that may be imposed under SOX.






41. Even if the employee provides evidence of individual complaints - OSHA will not investigate under what condition?






42. SOX generally only applies to __ - however - it's whistleblower provision also applies to company representatives.






43. If OSHA does not issue a final decision on the employee's complaint within 180 days after the complaint is filed - the employee can do what?






44. SOX (or SARBOX)






45. The Board can either adopt the judge's decision as its own or __ the case itself






46. The company or person must present evidence within __ days after receiving notice of the complaint.






47. Company representative






48. A system in which a shareholder can accumulate all of his or her votes and vote them all for one candidate or split them among several candidates






49. A duty of corporate directors and officers to use care and diligence when acting on behalf of the corporation






50. If a hearing is requested - it will be held before an __ who will issue a __ and __.