Question

The audit committee reports directly to the

1-internal auditor.
2-chief executive officer.
3-board of directors.
4-external auditor.

Answer 1

The audit committee reports directly to the board of directors.

Step-by-step explanation:

The audit committee reports directly to the board of directors. The board of directors, elected by the shareholders, is responsible for corporate governance and oversight for top executives. The audit committee is a subcommittee of the board of directors and its main responsibility is to oversee the company's internal audit function and ensure the accuracy of financial disclosures.