Audit committee in the system of corporate management

The paper explorers the relevant features of corporate governance as a basis for considering the role of the audit commitee. The goal is to determine the role and responsibilities of audit commitee, its members and the determination of its internal organization, the issue of its cooperation with external and internal auditors and communication with management. Primary functions of the audit committee are most frequently related to the area of internal controls and risk management, financial reporting, compliance with legal regulations and the relevant fields and issues related to external and internal audit processes. In both the continental system of corporate governance, characterized by a two-tier management structure (Supervisory Board and Management Board), and the Anglo-American corporate governance system, where the roles of the Management Board and the Supervisory Board are integrated in a single Board of Directors with executive and non-executive directors, the audit committee is one of the specialized subcommittees to which relevant supervisory functions are delegated