What is Stock Audit?

As generally conceived, the audit committee of a publicly-held company should be made up of A) Representatives

• As generally conceived, the audit committee of a publicly-held company should be made up of A) Representatives of the major equity interests (preferred stock, common stock). B) The audit partner, the chief financial officer, the legal counsel, and at least one outsider. C) Representatives from the client's management, investors, suppliers, and customers. D) Members of the board of directors who are not officers or employees.

• Answer:

  The answer is D. The audit committee is a committee of the Board of Directors, and it should be composed of independent directors.