B1-M3 Sarbanes-Oxley Act of 2002 Flashcards
1
Q
what are the requirements of audit committee?
A
- must be members of the company’s board of directors
- must be independent, which means that they cannot accept compensation for consulting or advisory services and may not be an affiliated person of the company
2
Q
what makes a person an audit committee financial expert?
A
the financial expert serving on the audit committee must have experience with internal controls. they qualify through education or past experience as an auditor or finance officer for an issuer of similar complexity
3
Q
the disclosure of whether or not an issuer has adopted a code of ethics apply to whom?
A
senior officers of an issuer
