What is the role of audit committees?

What is the role of audit committees in a company?

Audit committees are responsible for overseeing financial reporting, internal controls, and the audit process.

Why are audit committees important for corporate governance?

They enhance transparency, accountability, and help prevent financial mismanagement and fraud.

Who typically serves on an audit committee?

Members are usually independent board members with financial expertise to ensure unbiased oversight.

How often do audit committees meet?

They typically meet quarterly, but may meet more frequently depending on the company's needs.

What are the key responsibilities of an audit committee?

Key responsibilities include reviewing financial statements, overseeing audits, and ensuring compliance with regulations.