1. The Sarbanes Oxley Act was established in 2002. Why was it enacted? Describe 6 provisions of the Act?
2. Define the concept of materiality. Give 2 examples and clearly explain why you think that they are material.
3. Accounting Changes & Correction of Errors
a. List and describe 3 accounting changes. Give an example of each change. Describe how each change should be accounted for in the financial statements. b. What is an error? Give an example. Describe the ways errors can be corrected and accounted for in the financial statements.
4. Comprehensive Income.
a. Define comprehensive income.
b. Explain why comprehensive income is important.
c. List and describe the 4 components of other comprehensive income under US GAAP.
d. What are the components of other comprehensive income under IFRS?
e. What are the two choices for financial statement presentation of comprehensive income under US GAAP?