A company has additional temporary funds to invest. The Board of Directors decided to purchase marketable securities and assigned the future purchase and sale decisions to a responsible financial executive. The best person(s)to make periodic reviews of the investment activity authorized by that executive should be:

Question

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The Board of Directors has already assigned the future purchase and sale decisions to the financial executive. Since the company's funds are involved, it is essential to have an investment committee of the Board of Directors to periodically review the investment activity authorized by that executive. This will ensure that the investments made align with the company's goals and objectives and maximize returns while minimizing potential risks. The chief operating officer, corporate controller, and treasurer may not have the necessary expertise in investment analysis to make informed investment reviews.

A Company Has Additional Temporary Funds to Invest