Audit Committee role is very important to the protection of shareholders and other \nstakeholders interests. This research study explores the influence of audit committee \neffectiveness on firm�s performance using four characteristics: independence, financial \nexpertise, size, and meetings of the audit committee. The performance measures were Return \non Equity (ROE), Return on Asset (ROA) and Return on Capital Employed (ROCE). Twenty- five \n(25) manufacturing firms were selected and from which data were collected for the period \n(2004-2011). Empirical analysis was carried out using regression and correlation. The result of \nthe analysis showed a positive significant relationship between independence and financial \nexpertise of the audit committee and ROA, ROE and ROCE. However, the size and meetings of \naudit committee showed no significant relationship with all performance variables. This study \ntherefore recommends that the audit committee should be made more effective by ensuring that \nmembers are made up of independent non-executive directors and also ensure that more \nmembers with financial expertise especially accounting expertise be drafted into the audit \ncommittee and lastly ensure that audit committee meetings are tailored towards relevant issues \nthat enhance the financial performance of the firm.
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