Article Review Essay Example | Topics and Well Written Essays - 500 words - 28

Article Review - Essay Example Besides, Julia gives a broader picture of the extraneous factors that surround the act (Julia, 2014). The article asserts that the motive of creating the act was in good faith as it addresses the threat of increased fraud in the corporate world. However, the article also hints at some faction of the society viewing the act as politically motivation. This is a normal observation that corporate regulations which have significant influence in the government revenue collection and general economic progress of the country must attract such criticism. Sarbanes-Oxley Act (SOX Act) of 2002 is noted as effective in taming business malpractices that constitute fraudulent conduct of corporate financial governance. The aforementioned incidences are highlighted in the article as reflective of the potential threat hence the timeliness of this act. The article explains that the criterion that was used to create the act emphasized cost-benefit analysis. The act is expansively addressed by the article in terms of how it will boost ethical practices in corporate governance. The investors’ interests basically remain the key role of the company management. It is therefore unfair to rob the investors of their hard earned commitment to the stock market. The efficiency with which the act is applicable is overwhelmingly supported by Julia based on two practical premises. The flexibility of the act in terms of exemption of some small firms seems to be a positive idea. As can be noted in the article, the widely noted heavy cost of sustaining this regulation by firms justifies exemption of otherwise small companies. This to some extent is aligned towards ethical aspect of the act in its application (De & Argosy University. 2006). The financial transparency of the corporations is emphasized as the basis of ethical duty of the managers. Internal control