Which of the following statements is True with respect to audit committees?

Question

Quizplus · Accepted Answer

The audit committee of a public company is responsible for hiring the auditor. This ensures independence of the auditor and reduces any potential conflicts of interest. Option A is incorrect as audit committee members should be independent of company management. Option B is incorrect as there is no requirement for all members of the audit committee to be financial experts. Option D is incorrect as there is no minimum or maximum number of members specified for the audit committee.

Which of the Following Statements Is True with Respect to Audit