Explanation:
The Audit Committee is a key component of corporate governance. Its typical responsibilities include overseeing the financial reporting process, monitoring compliance with laws and regulations, overseeing internal control systems, and monitoring internal and external audit functions. Option B is typically the responsibility of the Board (or Risk Committee). Option C is generally a function of the Lead Director or Executive Committee. Option D is a task of the operational risk management function, not the Audit Committee itself.
Ultimate access to all questions.
Q.48 Tom Seal, a director at a large European bank, has just been appointed to the Audit Committee of the bank. Which of the following tasks is the Audit Committee most likely to perform?
A
Providing input into policies and procedures implementation, monitoring compliance with relevant regulations and overseeing internal control systems
B
Setting the firm's risk appetite and overseeing the operations of the firm to ensure that it is operating within the limits set by this appetite.
C
Determining the most important issues that should be addressed by the full board and enforcing board policies.
D
Gathering all pertinent operational risk data, including information on risk exposures, controls, indicators, the status of action plans, and changes to the risk profile.
No comments yet.