Understanding Section 302 of the Sarbanes-Oxley Act

The Sarbanes-Oxley Act mandates that upper management, specifically the CEO and CFO, are responsible for the accuracy of financial statements and the establishment of internal controls. They must certify the correctness of these statements through written documentation. This requirement clarifies the responsibility of management for financial statements, a topic that was previously debated.

What was the debate prior to the Sarbanes-Oxley Act regarding financial statement responsibility?

How has the Sarbanes-Oxley Act clarified the responsibility for financial statements?