Gina and Samantha are discussing the Sarbanes-Oxley Act of 2002. Gina argues that although the act requires the management of a company to explicitly declare in writing that a company's financial statements accurately and fairly represent the financial results, no steps have been taken to ensure that this rule is followed. Which of the following statements weakens Gina's argument?
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An individual who is employed by a certified public accounting firm that audits a company can be employed as the CEO or CFO of that company to ensure the fairness of its financial statements.
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If a company's financial statements contain misrepresentations, the CEO and CFO run the risk of serving time in jail.
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The Sarbanes-Oxley Act prohibits a public company from granting personal loans to any of its executive officers or directors
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If a CEO or CFO of a company fails to comply with the provisions of the act, he or she is subject to a fine up to $10,000 and one year in jail