Research On The Internal Control Evaluation Of The Listed Company Based On The Financial Restatement

Financial reports is the direct way for the investors to understand the accounting information of listed companies and financial condition, its quality has played a key role for investor’s decision.As the proportion of listed companies to restate finance is gradually increasing, the quality of financial reporting cause wide attention of scholars and the public.Because of the listed company financial restatements means the general error exist in the financial report to be released before, investors are unable to make the right investment decisions in the case of the not real operating performance.It is late to enact to disclosure of internal control information in the listed company in our country,it does not force them to disclosure of internal control information before 2011.Five branch committee jointly issued the "enterprise internal control basic norms" in 2008,and the form a complete set of internal control guidelines in 2010, including 18 specific application of internal control, evaluation and audit guidelines.Since January 1, 2011, the first listed companies in the domestic and overseas at the same time implement the internal control basic norms, demanding disclosure of internal control evaluation information, with the annual report,then expands the scope unceasingly to all main board listed companies on Shanghai and shenzhen two city in our country by January 1, 2014, mandatory disclosure of internal control evaluation report and internal control audit report marked that company internal control standard system construction has been basically completed in the our country listed.There are many study of relationship between internal control and financial restatement for the listed company, but the object of study is focused on the disclosure of internal control defects in internal control evaluation report of the listed company, to find out the relationship between internal control defects and financial restatement behaviors conducted by these companies on the empirical research.In the internal control audit guidelines issued by the ministry of five ministries(2010) jointly in our country also explicitly pointed out that fact "the correction of published financial statements shows thatthe internal control may exist significant signs of defect".it shows that relationship between financial restatements and the listed company internal control defects. In this paper, Those internal control evaluation report conclusion is effective but then the financial restatement of company internal control issues, whether and focus on the listed company of its own internal control evaluation, whether through feedback, financial restatements behaviors conducted by contrast between the two is consistent, it is concluded that the listed company of its own internal control evaluation accuracy and authenticity of internal control disclosure of information.This article adopts the method of normative research combined with case study to study the internal control evaluation report of listed companies to disclose the relationship between financial restatements, with theoretical analysis is given priority to, supplemented by case studies.Against financial restatement and evaluation of internal control information disclosure of listed companies, such as content will comb literature summary both at home and abroad, and then to our country in 2012-2014, the Shanghai and shenzhen two city listed company internal control evaluation report and the disclosure of internal control audit report and take statistics of financial restatement, on this basis, the internal control evaluation report of listed company of our country and the theoretical research on the behavior of financial restatement consistency, finally, case analysis of selected financial impact after repeat data analysis, the annual internal control evaluation report found that the problems existing in the internal control, puts forward the suggestions.