The focus of Ac'sense is to provide those charged with governance with essential, relevant information through clear and concise executive summary-type communications. In this spirit, we have updated the Effective Audit Committees in the Ever Changing Marketplace publication as a practical guide to forming and running an effective audit committee. Within this publication, we provide answers to certain frequently asked questions (FAQs) centering on the WHYs, WHOs, WHATs, WHENs and HOWs of audit committees. More specifically, these FAQs summarize the common functions and responsibilities of audit committees and seek to provide insights and perspective as to how to optimize audit committee effectiveness. Our vision has been shaped by our own experiences with our clients and interpretations of the specific recommendations, guidelines, and rules of various governing bodies, professional organizations, and the stock exchanges.
Throughout this publication, we focus on some of the more challenging aspects facing audit committees and best practices that may be adopted. To that end, in addition to our commentary, we have included links and references to other relevant BDO practice aids and tools as well as certain valuable external resources.
What's New?
As part of our update, we have added expanded guidance with an emphasis on the audit committee’s roles with
respect to:
- risk assessment and oversight;
- fraud;
- developments in complex accounting and reporting matters – e.g.,:
- convergence toward IFRS
- navigating the current economic environment
- income taxes
- XBRL
- 2010 Dodd-Frank Wall Street Reform and Consumer Protection Act
Additionally, we have included a section as to WHY those charged with governance of private companies should consider forming effective audit committees. Both within the publication and available as separate standalone tools, we have included several practice aids, including effective mechanisms for reporting, investigating and remediating fraud.
We hope you will find this guide, its associated practice aids and links helpful in understanding and meeting the many requirements and challenges of the ever changing marketplace for those charged with governance and more specifically, for audit committees.
- To access the Effective Audit Committees in the Ever Changing Marketplace, click here
- For standalone practice aids included within this publication as well as other materials, click here
