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Essay text:
In assessing the governing bodies of the organization, the auditor must keep in mind that management's actions set the tone of the organization's structure, which, in a well-governed organization, is propagated throughout all levels of the organization and determines the effectiveness of the organization's internal controls.
1. In evaluating management's compliance with SOX, how has management embraced the Act's initiative towards greater corporate responsibility from the resulting evidence? What audit implications (if any) could this impose on the company?
Why it's important:
Public confidence in capital markets can only be restored when corporate governance is in line with these interests...
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