Cengage Advantage Books: Introduction to Business Law 4th Edition by Timothy Koch, Jeffrey Beatty, Jeffrey Beatty, Susan Samuelson, Susan Samuelson

Exercise 13

Which of the following statements about Sarbanes-Oxley is not true
(a) All accounting firms that audit public companies must register with the PCAOB.
(b) Auditors must report to the CEO of the company they are auditing.
(c) Auditing firms cannot base their employees' compensation on sales of consulting services to clients.
(d) An accounting firm cannot audit a company if one of the client's top officers has worked for that firm within the prior year and was involved in the company's audit.
(e) Every five years, the lead audit partner must rotate off an audit account.