ACCA AA · Chapter 2 · Question 8 of 10
Which of the following is NOT normally a responsibility of an audit committee?
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: D) Preparing the annual financial statements
Explanation
Preparing the financial statements is the responsibility of management and the board as a whole. The audit committee oversees financial reporting, internal control, internal audit and the relationship with the external auditor. If it prepared the financial statements it could not provide independent oversight of them.
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