Earticle

초록

영어

Management is responsible for fair presentation of financial reporting, but often commits intentional misrepresentations or deceptions due to certain environmental, institutional, or personal desire. Fraudulent financial reporting detriments not only those involved but the stability of the nation's economy, leading to shake up or even collapse of the securities market. The board of directors delegates responsibilities for overseeing and monitoring financial reporting process to the audit committee which, in turn, helps the board discharge its duties effectively by providing accounting information. But for the committee to perform its perceived responsibilities well, it must be composed of truly independent members. The inclusion of "grey area" members to the committee may compromise its independence and ,thereby, reduces effectiveness of the audit committee as a monitoring mechanism for management actions. In addition, duties of the committee along with membership requirement, terms of office, frequency and timing of meeting must be spelled out in the charter.

목차

1. Introduction
 2. Agency Problem
 3. Formation of the Audit Committee
 4. Duties of the Audit Committee
 5. Conclusion
 References
 Abstract

저자

• Giyoul Lee [ 이기열 | 단국대학교 경상학부(회계학전공) 조교수 ]

참고문헌