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Homework Chapter 3

Homework Chapter 3

Q 1. What is Generally accepted accounting principles (GAAP)? 2. Why was The Sarbanes-Oxley Act of 2002 passed? 3. What does PCAOB stand for?4. What does the PCAOB do?5. What corporations are required by the Securities and Exchange Commission (SEC) to provide their stockholders with an annual stockholders’ report? 6. Name the Four Key Financial Statements:

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1. Collection of commonly followed accounting rules and standards for financial reporting. 2.In response to widespread corporate fraud and failures. To reduce conflict of interest and transferring responsibility for the complete and accurate handling of financial reports. 3.Public Company Accounting Oversight Board 4.Oversee the auditors of public companies in order to protect the interests of investors and further the public interest in preparation of informative fair.