provide services such as Book keeping‚ financial information system design/implementation‚ internal audit‚ actuarial ‚ valuation‚ investment adviser‚ expert srervices unrelated to audit etc. – we still do not have any such prohibition 2.SECTION 302- CEO/CFO CERTIFICATION OF FINANCIAL STATEMENTS and review of internal control system and its deficiencies This requirement has been incorporated in clause 49 but an important requirement i.e. evaluation of the effectiveness of internal control systems
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Company Accounting Oversight Board (PCAOB)‚ (ii) Requirement that public companies evaluate and disclose the effectiveness of their internal controls and "Attests" such disclosure by independent auditor‚ (iii) Certification of financial reports by CEO & CFO‚ (iv) Auditor independence‚ including bans on certain types of work for audit clients‚ (v) Companies listed on stock exchanges must have fully independent audit committees‚ (vi) Ban on most personal loans to any executive officer or director‚
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allows for a legal barrier between executives and the internal auditor and decreases any conflict that could be made between the parties. “It removes the defense of "I wasn ’t aware of financial issues" from Chief Executive Officers (CEOs) and Chief Financial Officers (CFOs) (SOX-Online). The act applies to all public companies in the United States and international companies that have registered with the Security and Exchange Commission and the audit firms they have hired as external auditors. This
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Retrieved on November 8‚ 2010 from Callahan‚ C. (2010). Sarbanes-Oxley – Introduction to SOX. Retrieved from WebTycho Classroom Week 6 class material on November 9‚ 2010. Erhemjamts‚ Gupta and Tumennasan (2009). The Effect of Sarbanes-Oxley Act on CFO Compensation and Rank. Retrieved on November 9‚ 2010 from http://69.175.2.130/~finman/Reno/Papers/Effect_of_SOX_on_CFO_Comp_and_Rank.pdf Institute of Internal Auditors Jahmani‚ Y. and Dowling‚ W. A. (October 2008). The Impact of Sarbanes-Oxley Act
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caseF&C INT CASE 4.2 F&C INTERNATIONAL‚ INC. Synopsis Over two centuries‚ the Fries family of northern Kentucky and southern Ohio built a dynasty of sorts in the flavor industry. Alex Fries‚ a German immigrant with a background in chemistry‚ settled in Cincinnati during the early nineteenth century and a few years later established a flavor company. Throughout the nineteenth and twentieth centuries‚ Fries and his descendants owned‚ operated‚
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restructure it to make it more efficient and beneficial for the company. The students have decided the CEO of the organization is overwhelmed with departments reporting to him. Therefore‚ some departments will be consolidated and moved to more specialized officers under the CEO for a more productive company. The officers to receiver these additional departments will be Chief Financial Officer (CFO)‚ Chief Strategy Officer (CSO) and Chief Informational Officer (CIO). This paper will discuss structural
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public in 1965 at $5 per share. Over the last ten years‚ its stock price has ranged from $8 in July 2002‚ to its peak at $15 in July 2006 to its low at $4 in July 2010. It currently trades at approximately $5.50 per share.The Chief Executive Officer (CEO)‚ Michael J. Koss‚ the founder’s son‚ and his family directly or indirectly own in excess of 70 percent of the company’s 851‚000 shares. A $34 million embezzlement of cash from the Koss Corp. occurred over a 12 year period from 1997 through December
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performance. The oil & gas industry is completely a suppliers game to play with prices. OPEC controls the supply & demand. The new CEO has a different vision & mission compared to the previous CEO. He wants faster growth. Previous CEO Inspirational & YJ’s success was due to the team he recruited. Change management can come in the exam. But CFO has concerns regarding lack of funds. There seems to be a board dispute. Board disputes can be no.1 issues at the exam. YJ will have macro
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Officer (CFO) has become the strategic business partner to CEO and is playing a leading role in company’s decision-making process. In this context‚ the finance function is all the more important especially in conglomerate and multinational companies. Unilever Ltd. is one such company that has a highly diversified geographical presence and wide financial operations. Role of Finance Function - Interface of Finance Function with other Functions In the rapidly changing business world‚ many CEOs are realising
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The Effects of Sarbanes-Oxley The Sarbanes-Oxley Act of 2002 (SOX) was created in response to the series of misleading and fraudulent activities of publicly traded big business’s in the 1990s. During this time‚ multiple large publicly-traded businesses increased their stock prices by “publishing false or deceptive financial statements” (Lasher‚ 2008‚ p. 187). The most publicly charged company was Enron‚ which was then followed by Xerox‚ WorldCom and Global Crossing. This resulted in millions
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