What is the disadvantages of the sarbanes-oxley act of 2002 ? | Compliance Sarbanes Oxley

What is the disadvantages of the sarbanes-oxley act of 2002 ?


1: Smaller public corporations can’t afford the heavier accounting burden, so they get taken private and become LESS accountable than they were prior to sarbanes oxley.

2: Companies that can’t report accurately dont report ontime, and the public has LESS info than they did about they companies than before.

3: Honest companies get burdened with excessive accounting costs, and their share holders get no benefit from the accounting rules because the company was honest anyway.

4: It creates an over demand in the job market for accountants so companies that need to fill other positions have a harder time filling them.

5: Makes US companies less competitive with foreign competitors.

6: Has spawned a wave of mergers, so that their are now fewer small corporations and more big ones.

7: Has delayed initial public offerings because companies know they have a higher burden on their accounting from the beginning.

8: Has made it harder for Fannie Mae to do business so in turn has hurt the mortgage market.

9: Has made it harder for the top CEO’s to be paid what they are actually worth.

2 Responses

  1. randall271933 Says:

    what the hell is that?
    References :

  2. brian k Says:

    1: Smaller public corporations can’t afford the heavier accounting burden, so they get taken private and become LESS accountable than they were prior to Sarbanes Oxley.

    2: Companies that can’t report accurately dont report ontime, and the public has LESS info than they did about they companies than before.

    3: Honest companies get burdened with excessive accounting costs, and their share holders get no benefit from the accounting rules because the company was honest anyway.

    4: It creates an over demand in the job market for accountants so companies that need to fill other positions have a harder time filling them.

    5: Makes US companies less competitive with foreign competitors.

    6: Has spawned a wave of mergers, so that their are now fewer small corporations and more big ones.

    7: Has delayed initial public offerings because companies know they have a higher burden on their accounting from the beginning.

    8: Has made it harder for Fannie Mae to do business so in turn has hurt the mortgage market.

    9: Has made it harder for the top CEO’s to be paid what they are actually worth.
    References :

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