Legl 2700 Epstein Unit 4 Study Guide Graded A+

What are the phases of going public? {Ans: Prefiling Period, Waiting Period, Posteffective Period}What is inside information? {Ans: Any information about a company's strategic and financial plans or current operations obtained from "inside" the company (information not otherwise available to the public).}What is BFOQ? {Ans: Bona fide Occupational Qualification; when hiring, promotion, and other personnel decisions - Disparate Treatment}SOX Act: Section 302 {Ans: Required CEO and CFOs to certify the accuracy of the quarterly and annual financial statements}SOX Act: Corporate Governance {Ans: SOX increases the independence of the auditors - Members of public company's audit committee must be independent from the control of the company: - Minimum one member should be financial expert - Auditors should report to the audit committees}SOX Act: Revitalize the SEC {Ans: - Increased SEC Budget - Increase power over governance issues - Congress empowered the SEC to increase corporate accountability}