Journal of Business Studies Quarterly _2CC_

The main objective of this research is to assess whether UK listed companies comply with the U.K code of corporate governance regarding audit committees and disclosure arrangements. The research also aims at testing whether the companies’ size and board composition affect the management’s decision to comply with the requirements of the U.K code. Data was collected from the U.K listed FTSE companies. Descriptive statistics including frequency tables, mean, other central tendency measures and regression analysis were used to test the research hypotheses. The findings of the descriptive statistics show most of the listed companies comply with the U.K code. The results of the regression analysis indicate a small association between the size of the companies described by the number of employees and the degree of compliance with the code. Future research should be more directed toward testing the other requirements of the code.