Question
Selangor Holdings currently has two non-executive directors, who form the Board Audit Committee as a third non-executive director who was also the financial reporting expert
Selangor Holdings currently has two non-executive directors, who form the Board Audit Committee as a third non-executive director who was also the financial reporting expert had recently resigned. The company is finding it difficult to recruit a suitable replacement and has requested that a senior partner from your audit firm become a member of the Board Audit Committee for the time being. In addition, the Board of Directors of Selangor Holdings has asked your audit firm to work with the Group internal audit team to design internal controls over the part of the accounting system which deals with revenue, and also evaluate the operating effectiveness of the internal controls. Required: Critically discuss any ethical issues relevant to the group audit, and recommend appropriate actions to be taken by your firm.?
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