Which of the following statements is true? Multiple Choice An external audit can be performed by anyone with an accounting degree. An external audit is required for any company with annual revenues greater than $5 million An external audit is designed to prove that the financial statements are wrong. An external audit must be performed by an independent, public accounting firm. rank Assessment Regarding corporate responsibility for financial reports, the principal executive officer or officers and the principal financial officer or officers, or persons performing similar functions, certify in each annual or quarterly report filed that... Multiple Choice Based on the officer's knowledge, the report does not contain any untrue statement of a material fact or omit to state a material fact necessary in order to make the statements made not misleading. Based on such officer's knowledge, the financial statements, and other financial information included In the report, fairly present in all material respects the financial condition and results of operations of the issuer as o, and for the periods presented in the report. They have reviewed the report. All of the above are true. The principal executive officer or officers and the principal financial officer or officers, or persons performing similar functions, certify in each annual or quarterly report filed that they have reviewed the report and that to the best of their knowledge the financial statements, and other financial information included in the report, fairly present in all material respects the financial condition and results of operations of the issuer as of, and for the periods presented in the report In doing so the signing officers acknowledge all the following except Multiple Choice Are responsible for establishing and maintaining internal controls Have designed such internal controls to ensure that material information relating to the issuer and its consolidated subsidiaries is made known to such officers by others within those entities, particularly during the period in which the periodic reports are being prepared Have presented in the report their conclusions about the effectiveness of their internal controls based on their evaluation as of that date Have evaluated the effectiveness of the issuer's Internal controls as of a date within 180 days prior to the report SOX requires the SEC to prescribe rules requiing each annual report required by section 13(a) or 15(d) of the Securities Exchange Act of 1934 to contain an internal control report, which shall: Multiple Choice State the responsibility of management for establishing and maintaining an adequate internal control structure and procedures for financial reporting Contain an assessment, as of the end of the most recent fiscal year of the issuet, of the effectiveness of the Internal control structure and procedures of the issuer for financial reporting Neither item "a" or "b" Both items" and "b" Periodic reports containing financial statement filed by an issue with the Securities Exchange Commission pursuant to section 13(a) or 15(d) of the Securities Exchange stof 1934 shall be accompanied by a written statement by the chief executive officer and chief financial officer (or equivalent thereof) of the issuer. The statement shall certify that the periodic report containing the financial statements fully complies with the requirements of section 13(a) or 15(d) of the Securities Exchange Act of 1934 and that information contained in the periodic report fairly presents, in all material respects, the financial condition and results of operations of the issuer. If an officer signing the report willfully certifies any statement knowing that the periodic report accompanying the statement does not comport with all the requirements set forth in Sox shall be fined not more than or imprisoned not more than years, or both Multiple Choice $5,000,000/20 $1,000,000 / 10 $500,000 75 $250,000/3
