How has the Sarbanes Oxley
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How has the Sarbanes Oxley Act Sox and the Public company Accounting oversight Board PCAOB affected corporate governance of U S companies Do the benefits of improved disclosure justifiy the additional disclosure costs Who gains the most beneit from those disclosure
...... By being more aware of their internal control structures, the effect for CEOs might for example be greater confidence in running their companies. The stronger internal control measures also prevent problems such as overspending, operational failures, as well as unforeseen allegations of fraud and litigation as a result of indiscretion
However, DAquila (2009) maintains that the costs remain significant, while the benefits might not specifically outweigh these. Indirect costs for example could directly affect the way in which companies function. According to DAquila, operations such as going public, decision-making and productivity, as well as directorship can be significantly influenced......
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