The 'if not,why not' approach of the ASX Corporate Governance Council to its recommendations requires companies to:
A)Have a majority of the board as independent directors.
B)Establish an audit committee.
C)Disclose whether they have complied with the principles and recommendations.
D)Report to ASIC any breaches by their auditor of the Code of Ethics.

Question

Quizplus · Accepted Answer

The 'if not, why not' approach requires companies to disclose whether they have complied with the principles and recommendations. This promotes transparency and accountability, allowing stakeholders to evaluate a company's corporate governance practices. While having a majority of independent directors and establishing an audit committee are also important corporate governance practices, they are not specifically required by the 'if not, why not' approach. Reporting to ASIC any breaches by their auditor of the Code of Ethics is also not a requirement under this approach.

The 'If Not,why Not' Approach of the ASX Corporate Governance