Question

All of the following statements about the Foreign Corrupt Practices Act (FCPA) are correct EXCEPT?

1) the FCPA makes bribing foreign officials illegal.
2) the FCPA addresses records retention required under the Securities Exchange Act of 1934.
3) the FCPA does not apply to the work of auditors when an integrated audit reports on internal control over financial reporting.
4) through the FCPA, Congress increased the bookkeeping and accounting records requirement of those corporations bound by the 1934 Act.

Answer 1

The Foreign Corrupt Practices Act (FCPA) makes bribing foreign officials illegal and addresses records retention. However, it does apply to the work of auditors when an integrated audit reports on internal control over financial reporting.

Step-by-step explanation:

The Foreign Corrupt Practices Act (FCPA) is a law that makes bribing foreign officials illegal. It also addresses records retention required under the Securities Exchange Act of 1934. However, the FCPA does apply to the work of auditors when an integrated audit reports on internal control over financial reporting. Through the FCPA, Congress increased the bookkeeping and accounting records requirement of corporations bound by the 1934 Act. Therefore, statement 3) the FCPA does not apply to the work of auditors when an integrated audit reports on internal control over financial reporting is incorrect.