Answer:
true
Step-by-step explanation:
Synopsis: The Sarbanes-Oxley Act redefines the relationship between public corporations and auditors, restricting the services auditors can provide to clients.
Abstract: The Sarbanes-Oxley Act, also known as the SOX Act of 2002, is a law passed by the U.S. Congress to protect investors from fraudulent financial reporting by corporations. It imposes strict reforms on securities regulations and imposes penalties on lawbreakers.
Analogy: The Sarbanes-Oxley Act is like a set of rules that change how a teacher and student interact in the classroom, making sure the teacher only provides certain types of assistance to the student and preventing any unfair practices.
Summary: The Sarbanes-Oxley Act changes the way auditors work with public corporations and limits the services they can offer, aiming to prevent fraudulent financial reporting and protect investors.
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