Day: May 27, 2025

Accounting Multiple Choice Question – 27 May 2025

The home of multiple choice questions for all your KS3, KS4 and KS5 Business Studies, Economics and Accounting requirements.

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Big Staffie plc is currently drawing up a shortlist of potential members of its audit committee.

Under the UK Corporate Governance Code, the shortlist must comprise only?

Select ONE answer:

  1. Independent non-executive directors with recent and relevant financial experience
  2. Independent non-executive directors with at least one who has recent and relevant financial experience
  3. Non-executive directors with recent and relevant financial experience
  4. Non-executive directors with at least one who has recent and relevant financial experience

Show your workings to arrive at your answer, and explain and justify your reasons:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple-choice question is suitable for Accounting KS5 classes.

The answer is 2

  1. Not correct
  2. Correct == > Provisions supporting main principle C3 (accountability: audit committee and auditors) of the Code clearly state that the requirement is for independent non-executive directors, with at least one member of the committee needing to have recent and relevant financial experience, but not all of them.
  3. Not correct
  4. Not correct

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