True or False

With respect to income taxes, managers would prefer to classify costs as assets rather than expenses. T/F

6. Under the terms of the Sarbanes-Oxley Act, a company and its external auditors are required to report on the effectiveness of the company's system of internal controls. T/F

7. Managerial accounting focuses primarily on the performance of the company as a whole. T/F

8. According to the Sarbanes-Oxley Act, a company's audit committee is responsible for its system of internal controls. T/F