Research On The Internal Financial Control Of Textile Industry

In modern enterprises, shareholder wealth maximization is the final goal of financial management and a good internal financial control is an essential way to realize the target. Especially in the sluggish economy environment, increasing internal financial control level can strengthen enterprises'ability of risk response. In this financial crisis, the real economy in China is impacted obviously, especially in the textile industry. This is mainly because that textile industry in China has low technique and low risk response ability. So this paper chooses ABC limited liability company, which belongs to textile industry, as the research object. This research can help H company overcome the risks and improve economic performance.First, this paper integrated the theories of internal control, financial control and internal financial control, which were the basic theories of this paper. Through the theatrical analysis, this paper defined the concept of internal financial control and made its characters clear, which is the guideline to the analysis of ABC company's internal financial control.Second, this paper analysis and evaluate the status of ABC company's internal financial control. It contains four aspects: control environment, assets, financial budget and internal auditing.Finally, this paper put forward some suggestions to improve ABC company's internal financial control level, especially on the informatization construction. Optimizing corporate governance structure, perfecting inventory management process and strengthening account receivable management all can help ABC company overcome the risks and improve economic performance.