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see we say an external auditor shld be independent nd is accountable to shareholders. and the work of external auditor is looked upon by the audit committee whose members eventhough r neds r appointed by the bod. so ultimately we cant say full independence is established right
An audit committee is comprised of INDEPENDENT NON-executive directors. There roles in corporate governance are independent of the executive directors/board responsible for management. (For more detail not examinable in AA see https://www.accaglobal.com/gb/en/student/exam-support-resources/professional-exams-study-resources/strategic-business-leader/technical-articles/independence-as-a-concept-in-corporate-governance.html.)
I don’t know what you mean “looked upon” – anyone can read an auditor’s report – but it doesn’t give them a say in the work of the independent auditor.
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