This is the third Ethics & Compliance Specialist Capstone Project as outlined in Module 0 located in the Learning Modules section.

The basis for your work will be the knowledge gained in this module related to the role of the Securities Exchange Commission in promoting ethical behavior, the purpose of the Balance Sheet, Income Statement, and Statement of Cash Flows and their connection to facilitating ethical behavior, the purpose of an audit and its role in supporting transparency and disclosure, and how the Sarbanes-Oxley Act facilitates financial transparency.

In order to assist your Capstone employer with their focus on corporate disclosure and transparency, you will "benchmark" Ford Motor Company ("Ford") by locating their most recent annual Form 10-K using the Ford Investors section of their website (under "Filter Filing Type," click on "Annual Filings"), or the SEC Company Search page (enter "F" in the "Fast Search" field for Ford's stock ticker symbol), and enter "10-K" in "Filing Type" field. You will also utilize the Ford Corporate Governance section of their website.

Respond to the following questions:

1. Describe the role of the Securities Exchange Commission in promoting ethical behavior at Ford. Include an explanation of the purpose of Form 10-K and how the information that the company is required to disclose promotes transparency for the benefit of its stakeholders.
2. Using Form 10-K, locate the "Ford Motor Company and Subsidiaries Financial Statements" section, review the Consolidated Balance Sheet, Consolidated Income Statement, and Consolidated Statement of Cash Flows, and summarize the purpose of each report. Next, describe the connection between Ford providing this information to its stakeholders and how this facilitates ethical behavior.
3. Discuss the purpose of the audit conducted by Ford's CPA firm and its role in supporting transparency and disclosure. Next, locate the auditor's conclusion in the "Report of Independent Registered Public Accounting Firm" in the "Ford Motor Company and Subsidiaries Financial Statements" section. Explain the purpose of this report, including how it facilitates ethical behavior, and indicate the auditor's conclusion expressed in the report. Do you believe that the opinions provided are comprehensive enough to give confidence to Ford's stakeholders? Why or why not?
4. Examine how the Sarbanes-Oxley Act ("SOX") facilitates financial transparency at Ford by addressing the following:
   1. Describe the overall purpose of SOX, including why it was created and how Ford's compliance will promote financial transparency.
   2. Locate the Form 10-K "3. Exhibits" section which is part of "ITEM 15. Exhibits and Financial Statement Schedules" under Part IV. Locate the Certifications of CEO and CFO under this section (labeled as "Rule 15d-14(a)" and "Section 1350"), describe the contents of each document, and indicate how they facilitate financial transparency.
   3. Locate the "Code of Ethics for Senior Financial Personnel" using the "Governance Policies" tab in the Ford Corporate Governance section of their website, describe the contents of the code, and indicate how it facilitates financial transparency.
   4. Locate the "Charter of the Audit Committee of the Board of Directors" using the "Governance Policies" tab in the Ford Corporate Governance section of their website, describe the contents of the charter, and indicate how it facilitates financial transparency.