Audit Committee Responsibilities

The Responsibilities of the Audit Committee as following:

• Establishment or amendment of the internal control system pursuant to Article 14-1 of the Securities and Exchange Act.
• Assessment of the effectivitiness of the internal control system.
• Establish or amend procedures for material financial processes of asset acquisition and disposition, derivative trading, lending, endorsement, or guarantee to alige with Article 36-1 of the Securities and Exchange Act.
• Matters with conflict of personal interests of Directors of the Board.
• Material asset transactions or derivative tradings.
• Material lendings, endorsements, or guarantees.
• The offering, issuance, or private placement of equity-type securities.
• The engagment or discharge of Certified Public Accountants or their compensations.
• The employment or termination of financial, accounting, or internal audit officers.
• Annual and semi-annual financial reports.
• Other material requirements by the Company or government authorities.

All the above matters shall be subject to the approval of more than 50% of the entire member of the Audit Committee and shall be submitted to the Board of Directors for resolution.

The Audit committee regularly evaluates the independence of the certified accountants every year. In addition to requiring the certified accountants to provide an independence statement, it also refers to the Audit Quality Indicators (AQIs) to evaluate the independence, professionalism and suitability of the accountants since 2023. And report the evaluation results to the Board of Directors.
Based on the evaluation standards in Note 1 and the 13 AQI indicators, it was confirmed that the accountants meet the independence standards, and with reference to the AQI indicator information, it was confirmed that the accountants and the firm's training hours and audit hours are better than its peers, and also has better quality control capabilities than its peers. In the past three years, the firm has introduced audit tools to improve audit quality.
The results of the latest evaluation were discussed and approved by the Audit Committee on March 10, 2023, and were reported to the Board of Directors on March 10, 2023 to pass the assessment of the independence and competency of the accountants.