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Which of the Following Is a Limitation of SEC Requirements

Question 55

Multiple Choice

Which of the following is a limitation of SEC requirements for audit committee membership?


A) The expanded responsibilities make service on the committee less desirable to competent directors.
B) External auditors are unwilling to report to an independent audit committee.
C) The audit committee compromises the external auditor's independence.
D) Only the United Kingdom and the United States require audit committees, putting corporations in these countries at a disadvantage.

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