The Research On Information Disclosure Of HRFD Company’s Internal Control

The Enron event’s in the United States,China’s Yin Guangxia and other financial fraud cases indicate that internal control deficiencies are the main reasons that lead to the failure of business operation and ultimately harm the public interest. On the current fierce competition in the market situation, the internal control is increasingly becoming ’entry card’ and ’passport’ for a company to enter the capital market. The disclosure of internal control information is an important channel for corporate stakeholders to understand the operating status of the company, and the level of information disclosure directly affects the investors’ understanding of the company’s operating conditions, thus affecting the investment decision-making.Many experts and scholars at home and abroad have done a lot of research on internal control information disclosure from different perspectives such as the disclosure of quality, the impact of operating results and so on. Efficient and reasonable internal control information disclosure mechanism is the key measures for the effective operation of enterprise internal control and improve the enterprise management functions. Since the Sarbanes-Oxley Act in the United States,various countries have intensified their awareness of internal control and promulgated laws and regulations on internal control.In China,the internal control has been gradually put into the scope of legal supervision since 2008 when the ’basic norms of internal control’ was promulgated as well as the three "supporting guidelines" promulgated in 2010. However, the quality of listed company’s internal control information is generally not high in China. It is necessary to invest more research and analysis in this aspect, in order to standardize the disclosure of internal control of listed companies to make constructive comments or suggestions. The study of internal control information disclosure may help companies to establish and improve the internal control system, improve the policy of internal control information disclosure, protect the interests of investors and reduce the information asymmetry between management and stakeholders and protect the interests of investors.The object of this paper is HRFD’s internal control information disclosure. The main content of this paper is divided into five parts: The first part is the introduction part.In this part the background and significance of this research is mainly introduced, the main research contents and methods are summarized, and the domestic and international research status were compared to find out the similarities and differences between domestic and foreign research on internal control information disclosure. The second part is the concept and theory. It mainly introduces the related concepts, development process and theoretical basis of internal control information disclosure, and provides the theoretical basis for the analysis of internal control information disclosure. The third part is the status and problems of internal control information disclosure part. Firstly,the basic situation of HRFD Company is briefly described,and then the form and general situation of internal control information disclosure are described in detail, and the problems in information disclosure are summarized. The fourth part is the reason analysis part. According to the analysis of the problems in HRFD’s internal control information disclosure, the reasons were analyzed mainly from two aspects: the macro-environment reason and the company’s personal reason. The fifth part is the countermeasure suggestion part to put forward corresponding countermeasures and suggestions to improve the internal control information disclosure mechanism of HRFD Company so as to promote the long-term and healthy development of the Company’s internal control information disclosure.