According to Corporate Governance of New Zealand (principle 3), the board should use committees where this will enhance its effectiveness in key areas, while still retaining board responsibility. Financial reporting and audit processes are a key area of board responsibility. Audit committees can be an important tool for entities.

Watch the video: " False Assurance" https://aut.kanopy.com/video/false-assurance

Required: Comment on the structure of the audit committee and the issues the committee has dealt with. (10 marks)