Financial Management (Discussion 2)

Discussion B: [insert title]

Background Information

Welcome to the second discussion. In this course you will be introduced to a topic in the discussion. The first week of the module you will write about your initial thoughts after reviewing the resources. The initial post should be at least 300 words.

Discussions should always be completed prior to “class.” If you are in an online class or an on ground course this is prior to the lesson portion of the week. Are you ready to begin?

1. Consider the following:

By increasing corporate responsibility and financial disclosure requirements, creating stronger firewalls between investment bankers and securities analysts, and increasing the punishment for violations, Sarbanes-Oxley is designed to help restore investor confidence in the securities markets.

2. Initial Post (300 words)

What is the major complaint many companies have about this legislation? Present an argument both for and against Section 404(b) from the Sarbanes Oxley Act?

Solution Preview

Financial management

Section 404v of the Sarbanes act introduced guidelines which the administration and the auditors who report for the efficiency of the internal controls of public companies must follow. The law had both negative and positive impacts on the corporate practice of the companies which actively trade on the share market. Some of the disadvantages of the law are that:

(328 words)