The Sarbanes-Oxley Act and Corporate Governance

Course Description

A corporate scandal involves alleged or actual unethical behavior by people acting within or on behalf of a corporation. Since the turn of the century,the U.S. has seen some largecorporate collapses and scandals due to shoddy and deceptive accounting practices. Many companies, shareholders and employees suffered as stock prices felland reputations were tarnishedwhen businesses such as Nokia, Lucent Technologies, energy, and internet-related businessesconducted questionable practices.

This course examines developments in finance and accounting and a series of corporate accounting scandals on the heels of the Enron debacle thathave led to currentsweeping accounting guidelines, proposals, and legislation—most notably, the Sarbanes-Oxley(SOX) Act. Many of the issues surrounding the SOX Act—especially Section 404, Internal Control over Financial Reportingand Sections 302 and 906, Management Certifications—are discussed. The general issues on corporate governance and corporate social responsibility (CSR), including stock option expensing, are also covered. The illegal practice of stock option backdating isdescribed as well.

Learning objectives

• a:1:{i:0;s:135:"Recognize the sources of accounting irregularities such as the use of special purpose entities (SPEs) and improper revenue recognizion.";}
• a:2:{i:0;s:95:"Identify the controversy with expensing stock options and specific issues addressed by ASC 718.";i:1;s:81:"Recognize different rules and regulations put out by the FASB, NYSE, and the SEC.";}
• a:1:{i:0;s:46:"Identify key elements of corporate governance.";}
• a:1:{i:0;s:90:"Identify attributes of good governance, social responsibility and other ethical standards.";}
• a:1:{i:0;s:98:"Recognize the major features of the Sarbanes-Oxley (SOX) Act of 2002 Corporate Responsibility Law.";}

Final examination expiration date:

The program participant will have one year from the date of purchase to complete the course and final examination.