Short answer question

(A)You are working for a company listed on the Australia Stock Exchange (ASX). Arthur Henderson is the Chairman of the board of directors. Mr Henderson considers that the main role of the audit committee is to communicate between the board and the external auditors. Mr Henderson considers that "Given the Corporation Act requires the company to provide true and fair information, if the financial report is audited by the external auditor, then internal audit is not necessary." Required: Provide your comments regarding Mr Henderson's statement "Given the Corporation Act requires the company to provide true and fair information, if the financial report is audited by the external auditor, then internal audit is not necessary".

(B)You friend is running a fitness business with his brother which is operating in Brisbane, Sydney and Melbourne. You friend is asking for your advice regarding governance of his business. You friend considers that "Governance is not applicable for a family business". Required: Provide your comments regarding whether "Governance is not applicable for a family business".