During the last several months various regulatory changes and enforcement actions have combined to task audit committees with expanded duties. Now, two recent reports have provided a roadmap for improved reporting.
The first, an EY analysis of this year’s audit committee proxy disclosures, reveals that transparency is on a rapid ascent. The specifics suggest some relatively easy steps that virtually every public company can accomplish with ease. Half of all large company audit committee reports, for example, disclosed that the committee is responsible for the appointment, oversight, and compensation of the auditor, up from 37 percent in 2012.
