Sarbanes Oxley Act of 2002

The important components of the Sarbanes Oxley Act of 2002 are the establishment of the Public Company Accounting Oversight Board to monitor independent
accounting firms. Other important components are Auditors Independence this establishes new rules for auditors and for external auditor freedom. Corporate

Responsibility that ensures senior executives takes responsibility for the financial accuracy of their company's financial records. Enhanced Financial Disclosures which means corporations must be more thorough in their released financial documents. Analysts Conflict of Interest which are measures to restore investor's confidence. Commission Resources and Authority gives SEC authority to determine punishments for

financial professionals. Studies and Reports research is conducted to verify the actions enforced by the SEC against financial professionals. Corporate and Criminal Fraud Liability describes criminal penalties for fraud. White collar crime penalty enhancement it boosts penalties and punishments to crimes committed by white collar workers. Corporate Tax Returns CEO should sign the company's tax returns. Corporate fraud accountability recognizes corporate fraud.

The impact the Sarbanes Oxley Act of 2002 will cause corporations to have more accurate financial statements and pay more attention to the company's finances. Corporations will be more honest in the future than they were in the past because of the punishments that can, accompany their dishonesty. The financial records of the company will be checked and re-checked and this will allow for an accurate amount of money for the company as well as a clearer
picture for investors and potential investors about where their money is going. Because there is more punishment added and more power given to