(Answered) Gina and samantha are discussing the sarbanes-oxley act of

Finance

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?

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.
If a company's financial statements contain misrepresentations, the CEO and CFO run the risk of serving time in jail.
The Sarbanes-Oxley Act prohibits a public company from granting personal loans to any of its executive officers or directors
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

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