The Committee of European Audit Oversight Bodies (CEAOB) has published an analysis on audit committee indicators collected as part of the 2nd market monitoring report on the requirements for audit committees contained in both the Audit Regulation and Directive, based on a questionnaire sent to a sample of audit committees across Europe.
The responses collected indicated a broad application of the requirements of both the Audit Regulation and Directive. However, a number of areas were highlighted where there were indications of either non-compliance with the ARD or a lack of understanding around the application of the ARD. They mentioned that 89% of the audit committees monitor the effectiveness of the entity’s internal quality control and risk management systems and, where applicable, its internal audit regarding the financial reporting of the audited entity