Sarbanes Oxley Act and Independence Responsibility View Research Paper

Sarbanes Oxley make and Independence Responsibility View - look into Paper ExampleThe scandals not only adversely affected the sh are price but similarly the general public lost trust on the securities market. Hence the Sarbanes Oxley Act was formed to increase the function of the public company so that in future such type of scandals can be avoided.In this project a detail analysis has been made on the Sarbanes Oxley Act and independence responsibility view. The US GAAP has besides been analyzed in the view of the Sarbanes Oxley Act. The US companies prepare the financial statement as per the US GAAP but due to the en executionment of this act the public companies has to give some more disclosure apart from GAAP. This project involves a detail analysis of the problems of the Sarbanes Act and the US GAAP. The study excessively includes how and to what extent the act has impacted to the investor, officers of the company, directors, members and other stakeholders. At the end re commendations have been made on how the problems of this act can be solved and investors interest can be protected.Brief Overview of Sarbanes Oxley Act of 2002Sarbanes Oxley Act was enacted on July 30th, 2002. It increase the sanders to be maintained by all the public companies, its management and accounting firms.... It increased the sanders to be maintained by all the public companies, its management and accounting firms. The name of this law was given(p) after the name of the US senator and US representative Paul S Sarbanes and Michael G Oxley respectively. This act has cardinal main elements. They are as follows- a) Public Company Accounting Oversight Board- This part contains nine sections. These are related to administration, establishment, study, commission, accounting standards etc. This board also gives guidance on registration of auditors and also specifies the rules and procedures for conducting audit. b) Auditors Independence- This gloss mainly signifies the standard s regarding the independence of the external auditors. It contains nine sections. These sections deals with the criteria for approval and preapproval of auditors, rotation of audit partners, audit reports and everything related to the auditors and their work. c) corporal responsibility- This part contain eight sections which deals with the companys responsibility toward financial reports, forfeiture of profits and bonuses, audit committees of public company etc. As per this title the executives of the company should make sure that the financial reports are accurate and complete. It also signifies the penalties for non compliance of the guidelines. d) Enhanced financial disclosure- This part contains nine sections. This part signifies that the financial statements should also disclose those transactions which are not represented in the balance sheet. It also signifies the ethics to be followed by the financial officers. e) Analyst Conflicts of Interest- This part signifies the measu res which should be taken so that the investor can trust the aegis analysts reports. It contains