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MAC 4367 7) Right To Health (RTH) is a registered Non Profit Organisation (NPO) with over 5000 employses across the country and 800 volunteers providing
MAC 4367 7) Right To Health (RTH) is a registered Non Profit Organisation (NPO) with over 5000 employses across the country and 800 volunteers providing in home care for elderiy and disabled prople suffering with proper health care. A six member Board of Directors governs RTH. The Chef Executive Officer (CEO) chairs the Board which comprises the Chief Financial Officer (CFO) and four independent, unpaid non executive directors who were appointed by the CEO baved on past business relationships. The CEO/Chair sets the Board agendas. There is rarely any discussion of operational matsers relating to the organisation, as the CEO believes these are outside the directors' experience. The Board has no separate audit cormmittee but relies on the annual management fetter from the external auditors to provide assurance that financial controls are operating effectively. External auditors were previously appointed by the CEO. Without any assistance from the Board Which THREE of the following recommendations would improve compliance vith the principles of good corporate governance? 1. Separating the CEO and chairman roles II. Establishing an audit committee III. The external auditor qualifying the annual accounts IV. Holding an AGM V. Establishing an internal audit department VI. Appointing independent non-executive directors Choose the correct option A. I, II and III B. II, III and IV C. III, IV and V D. I, II and VI
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