LLL Company is listed on its country’s stock exchange. The following individuals serve on the board of directors: Asif is a non-executive director and is the chairman of the company. Bertrand is the CEO and is responsible for the day-to-day running of the company. Chan is a professional accountant and serves as a non-executive director. Donna is the finance director and is an employee of the company. Esther is a legal advocate and serves as a non-executive director. Frederik is the marketing director of a manufacturing company and serves as a non-executive director. a. Which of the following is the most appropriate composition of directors for LLL Company’s audit committee? Discuss the reasons for the recommended structure of the audit committee A. Chan, Donna and Esther B. Asif, Bertrand and Frederik C. Asif, Esther and Frederik D. Chan, Esther and Frederik

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
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LLL Company is listed on its country’s stock exchange. The following individuals serve on the board of directors:

Asif is a non-executive director and is the chairman of the company.
Bertrand is the CEO and is responsible for the day-to-day running of the company.
Chan is a professional accountant and serves as a non-executive director.
Donna is the finance director and is an employee of the company.
Esther is a legal advocate and serves as a non-executive director.
Frederik is the marketing director of a manufacturing company and serves as a non-executive director.

a. Which of the following is the most appropriate composition of directors for LLL Company’s audit committee? Discuss the reasons for the recommended structure of the audit committee
A.    Chan, Donna and Esther
B.    Asif, Bertrand and Frederik
C.    Asif, Esther and Frederik
D.    Chan, Esther and Frederik                                                      

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