Which of the following is a practice for good corporate governance under the Sarbanes-Oxley Act?

Establishing an independent audit committee is a key practice for good corporate governance as outlined in the Sarbanes-Oxley Act. This legislation was enacted in response to corporate scandals and aimed to enhance transparency, accountability, and accuracy in financial reporting. An independent audit committee is crucial because it ensures that the financial statements are audited without any potential conflicts of interest, as the members are not part of the company’s management. This committee oversees the entirety of the audit process, communicates directly with external auditors, and plays a significant role in maintaining the integrity of financial reports.

This practice helps to instill confidence among investors and the public regarding the fairness of financial practices, thereby promoting better corporate governance. The other options do not align with the principles established in the Sarbanes-Oxley Act; for instance, forming a government oversight committee, while beneficial, is not a specific requirement of the act, and marketing aggressive financial products and providing direct financial assistance to employees do not enhance corporate governance nor relate directly to the accountability measures intended by this legislation.