What was the Sarbanes Oxley (SOX) Act created to address? (1 point)

Question

Responses which is the best answer and why in your own words

Lack of ethical integrity in financial reporting.
Lack of ethical integrity in financial reporting.

Lack of protection for government information.
Lack of protection for government information.

Lack of categories for healthcare information.
Lack of categories for healthcare information.

Lack of protection for privacy of European Union citizens.

Answer 1

The best answer is: Lack of ethical integrity in financial reporting.

The Sarbanes Oxley Act (SOX) was created in response to corporate scandals such as Enron and WorldCom that highlighted the lack of ethical integrity in financial reporting. The act aims to restore public confidence in financial markets by implementing strict regulations and requirements for corporate governance, financial disclosure, and ethical behavior in publicly traded companies.