Question

Encouraged by the new Sarbanes-Oxley Act, individuals who report unethical or illegal behavior within an organization are?

1) corporate raiders
2) whistleblowers
3) vigilantes
4) compliance police

Answer 1

Individuals who report unethical or illegal behavior within an organization are known as whistleblowers. Whistleblowers are encouraged by the Sarbanes-Oxley Act to promote transparency and protect investors from accounting fraud.

Step-by-step explanation:

Individuals who report unethical or illegal behavior within an organization are known as whistleblowers. They are encouraged by the new Sarbanes-Oxley Act which was enacted in 2002 to increase confidence in financial information provided by public corporations and protect investors from accounting fraud. Whistleblowers play a crucial role in exposing wrongdoing and promoting transparency in organizations.