The Study On Internal Control Of Listed Company

In recent years, a large number of domestic and foreign listed companies have been exposed financial fraud, which greatly impacted the securities markets and frustrated the investors. After analyzing these cases, we can find that there is a close link between financial fraud and imperfect internal control and corporate governance. The internal control is a fire wall against business risk and financial fraud. Any weaks in the internal control may lead to internal control failure even business failure. Besides the corresponding internal control regulations issued by the government, how the corporate design reasonable internal control and run it effectively, and thus it can identify and prevent risks in the increasingly fierce competition and complicated and changeful environment to realize its healthy and stable development, which also has become the focus of attention in theory and practice.The study on internal control of listed company is based on Wanfu Biotechnology financial fraud event. On the basis of internal control theory and analysis of its financial fraud event, this article comes up with the improvement measures of internal control from perspective of the COSO risk management framework and corporate governance.This article consists of five parts. The first chapter shows under the current circumstances the worth of the analysis, the summary of the domestic and the abroad theory and the research approach. The second chapter is the internal control theory. In chapter three, there is the introduction of Wanfu and the financial fraud, the next is internal control defects and the link between the fraud and the defects. The forth chapter mainly talks about the improvement measures of internal control from perspective of the COSO risk management framework and corporate governance. The last chapter is the conclusion and the expection.