Research On The Problems And Countermeasures Of ZONECO Biological Assets

All along,the capital market does not like to discuss the topic of inventory in agricultural enterprises,and biological assets inventory is not only limited by natural conditions,but also difficult to measure in terms of natural conditions,and the particularity of future economic interests is uncertain,which brings great difficulty to enterprise management and audit work.In 2014,ZONECO,an mariculture company,has encountered cold water mass which caused millions of acres of scallops were destroyed.Since then,ZONECO has attracted the attention of the market.The Shenzhen stock exchange criticized it and ordered ZONECO to strengthen internal control.However,after three years,the large area of ZONECO's scallops died again without any warning,creating a negative effect on society.There is no doubt that ZONECO has a major defect in the management control,daily inventory and information disclosure of the inventory of biological assets.This paper chooses a typical aquaculture listed company-ZONECO to analyze the case of its biological assets inventory.Based on the actual situation,combined with the measurement of biological assets,control theory and audit theory,this paper summarizes the characteristics of biological assets in agricultural enterprises.By analyzing the motivation of fraud in agricultural enterprises,this paper summarized the risk points of inventory audit.Through a detailed combing case of ZONECO,based on the particularity of its inventory of daily management,internal control and stock measurement audit,points out the existing control environment is not perfect,the risk assessment is not perfect,illegal information disclosure problems of ZONECO in inventory management.Finally,proposed in view of the above problems,this paper put forward the construction.ZONECO need to strengthen the internal control system and improve the information disclosure system.Besides,this paper also puts forward some requirements for stocktaking work of auditing personnel.It is hoped to provide reference for enterprises with similar problems in the same industry.