IT Governance and Sarbanes-Oxley Act Assignment Help

Assignment Help: >> IT Governance >> IT Governance and Sarbanes-Oxley Act

Governance and Sarbanes-Oxley Act:

A few corporate scams that took place in the late 1990s and the early 2000s increased the need for organizations to follow corporate governance norms. Prominent among these scams was the one involving Enron Corporation, a Texas, US-based natural gas, energy trading, and electric utilities company. This financial debacle was the result of the irregular accounting procedures adopted by Enron's accounting firm Arthur Andersen LLP. The trial involving Arthur Andersen exposed another accounting fraud at WorldCom Inc., a telecommunication company, which later went bankrupt along with Enron. A number of other companies in the US were found to have indulged in fraudulent accounting practices along with high-level corruption and insider trading. In response to this, the US government passed the Sarbanes-Oxley Act (SOX) in 2002. This Act focused on protecting investors from the fraudulent accounting practices of companies. It also played a vital role in the development of IT governance. Some of the important points of the Act were:

  • It required all public companies to be registered with the established Public Company Accounting Oversight Board. The Board consisted of five full-time members who looked after the audits and auditors of public sector companies.
  • It increased the corporate responsibility for any fraudulent deeds.
  • It awarded strict punishments for deeds such as destroying records, committing frauds, and concealing them.
  • It prohibited an auditor from being the primary auditor for more than five consecutive years.
  • It required the CEO and CFO to certify the financial reports.
  • Each member of the audit committee had to be either a member of the board of directors or independent.
  • All the financial reports were to be filed with the Securities and Exchange Commission.

Under Section 802 (a) of the SOX Act, organizations were required to store all records related to an audit for at least five years. Under Section 802 (a), punishments were awarded to any person found to have altered, destroyed, or concealed data, which resulted in failure to comply with the defined accounting principles. To comply with such rules of the SOX Act, it was important to have correct information in the hands of the related chief financial officer (CFO) of the organization. Manually storing and maintaining the data for five years was a difficult task and thus a need arose for an efficient IT system that could store a huge amount of data for any period of time. 

 

Email based Information technology and system assignment help - homework help at Expertsmind

Are you searching Computer science expert for help with IT Governance and Sarbanes-Oxley Act questions?  IT Governance and Sarbanes-Oxley Act topic is not easier to learn without external help? We at www.expertsmind.com offer finest service of Information technolgy and system assignment help and Information technology homework help. Live tutors are available for 24x7 hours helping students in their IT Governance and Sarbanes-Oxley Act related problems. We provide step by step IT Governance and Sarbanes-Oxley Act question's answers with 100% plagiarism free content. We prepare quality content and notes for IT Governance and Sarbanes-Oxley Act topic under Information technology theory and study material. These are avail for subscribed users and they can get advantages anytime.

Why Expertsmind for assignment help

  1. Higher degree holder and experienced experts network
  2. Punctuality and responsibility of work
  3. Quality solution with 100% plagiarism free answers
  4. Time on Delivery
  5. Privacy of information and details
  6. Excellence in solving Information Technolgoy and system queries in excels and word format.
  7. Best tutoring assistance 24x7 hours

 

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd