Discuss and explain the role of the sarbanes-oxley act

Assignment Help Financial Management
Reference no: EM131188156

Discuss and explain the role of the Sarbanes-Oxley Act of 2002 in corporate governance. Some analysts think it has been a waste of corporate and economic resources. Do you agree or disagree? Make your case with examples.

Reference no: EM131188156

Questions Cloud

Describes the statistical relationship known as covariance : If two projects have cash flows that tend to move independently of each other (that is, are not related to each other), what can we expect their covariance to be? Which of the following describes the statistical relationship known as covariance?
Comparing ovo different capital structures-all-equity plan : Break-Even EBIT Yasmin Corporation is comparing Ovo different capital structures, an all-equity plan (Pian l) and a levered plan (Plan Il). Under Plan J, Yasmin would have 170,000 shares of stock outstanding. Under Plan ll. there would be 120,000 sha..
Managers should not focus on the current stock value : Managers should not focus on the current stock value because doing so will lead to overemphasis on short-term profits at the expense of long-term profits. In your post, explain what is meant by this statement. Describe how management might decide whe..
Based on nominal cash flows and nominal discount rate : You are considering a new project, which costs $600,000 and is expected to have the following nominal cash flows of $200,000, $220,000, $220,000, $200,000, and $180,000 in years 1 through 5. The company’s nominal cost of capital is 10%. The expected ..
Discuss and explain the role of the sarbanes-oxley act : Discuss and explain the role of the Sarbanes-Oxley Act of 2002 in corporate governance. Some analysts think it has been a waste of corporate and economic resources. Do you agree or disagree? Make your case with examples.
New plastic stamping machine-generate net cash inflows : Big Steve's, makers of swizzle sticks, is considering the purchase of a new plastic stamping machine. This investment requires an initial outlay of $90,000 and will generate net cash inflows of $19,000 per year for 11 years. What is the project's NPV..
What would be the present value of this loan : Assume a bank loan requires an interest payment of $85 per year and a principal payment of $1,000 at the end of the loan’s eight-year life. a. At what amount could this loan be sold for to another bank if loans of similar quality carried an 8.5 perce..
Importance of financial markets including their liquidity : Examine the role of management as it relates to finance in a corporation. In your post, discuss the role of management by addressing the following prompts: Explain the various aspects of finance that management must understand. Describe why a manager..
Compare the federal reserve system : Compare the Federal Reserve System to another central bank of your choice. Analyze the advantages and disadvantages of each system’s approach as well as the benefits and challenges of these systems.

Reviews

Write a Review

Financial Management Questions & Answers

  Compute its intrinsic value

A bond was issued 2 years ago. It's original maturity was 20 years. The coupon rate is 4% and the current YTM is 6%. Compute its intrinsic value.

  Calculate the effective annual rate of interest on each loan

Compensating balance versus discount loans. Weathers Catering Supply, Inc. needs to borrow $150,000 for 6 months. State Bank has offered to lend the funds at 9% annual rate subject to a 10% compensating balance. Calculate the effective annual rate of..

  Changes in growth and stock valuation

Changes in Growth and Stock Valuation Consider a firm that had been priced using a 6 percent growth rate and a 9 percent required rate. The firm recently paid a $.70 dividend. The firm has just announced that because of a new joint venture, it will l..

  Describe three potential causes of errors in projected

What are two unethical practices of some financial managers in preparing financial statements that could hurt their company? Describe three potential causes of errors in preparing projected statements for a company over the next few years.

  Required rate of return on the stock

GoFit Training Inc just paid an annual year-end dividend of $1.60 per share. It plans to increase the dividend by 7% next year, and increase it by the same percentage for the future. If the required rate of return on the stock is 8%, what is the valu..

  Straight-line to zero over its three-year tax life

Quad Enterprises is considering a new three-year expansion project that requires an initial fixed asset investment of $2.76 million. The fixed asset will be depreciated straight-line to zero over its three-year tax life. what is the project’s Year 0 ..

  Preferred stock expected return

You are planning to purchase 200 shares of preferred stock and must choose between Stock A and Stock B. Stock A pays an annual dividend of $5.25 and is currently selling for $38. stock B pays an annual dividend of $5.05 and is selling for $40. If you..

  What is your return assuming dividend of per share is paid

Suppose the call money rate is 4.5 percent, and you pay a spread of 2.5 percent over that. You buy 600 shares of stock at $78 per share. You put up $18,000. One year later, the stock is selling for $86 per share and you close out your position. What ..

  How firms estimate their cost of capital the wacc for a

1.how firms estimate their cost of capital the wacc for a firm is 13.00 percent. you know that the firmrsquos cost of

  Ignore interest rate parity for the sake of problem

The firm needs to borrow $100,000 dollars. Ignore interest rate parity for the sake of this problem. The firm can borrow in U.S. at 4% compounded annually, or the firm can borrow Yen at 3% compounded annually. Both loans require repayment of the prin..

  What is the return on assets and what is return on equity

Keller Cosmetics maintains an operating profit margin of 8.60% and a sales-to-assets ratio of 3.10. It has assets of $620,000 and equity of $420,000. Interest payments are $42,000 and the tax rate is 35%. What is the Return on assets? What is the ret..

  Appropriate discount rate-claim to these cash flows

You are expecting to receive $300 at the end of each year in years 3, 4, and 5, and then 500 each year at the end of each year in years 10 through 25, inclusive. If the appropriate discount rate is 6.5 percent, for how much would you be able to sell ..

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd