AUDIT COMMITTEE AND AUDIT QUALITY
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False profit declaration and weak governance remain the major problem in the corporate world. Corporate scandals always wipe out investors' faith in corporation and give doubts about the independence of auditors. In order to safeguard the auditors' independence, the audit committee emerged with responsibility of overseeing the financial reporting process, internal and external auditors' activities. The committee members usually possesses various characteristics, trainings, qualifications as well as different experiences in areas important to business that are expected to have effects on the co...
False profit declaration and weak governance remain the major problem in the corporate world. Corporate scandals always wipe out investors' faith in corporation and give doubts about the independence of auditors. In order to safeguard the auditors' independence, the audit committee emerged with responsibility of overseeing the financial reporting process, internal and external auditors' activities. The committee members usually possesses various characteristics, trainings, qualifications as well as different experiences in areas important to business that are expected to have effects on the committees' activities and equally enhancing the audit quality of a reporting firm. However, this does not often become realizable especially for a company whose financial statements show no indication of any failure but later suddenly becomes bankrupt. In such case, the auditors' responsibility of investigating and reporting is failed or not well carried out. This book is aimed to address these issues of corporate failures by looking deeply at the roles of audit committees in enhancing quality of audit reports by auditors.
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