Research On The Quality Of Internal Control Information Disclosure Of Chinese Listed Companies

In the recent years, with the occurrence of series of financial fraud cases, investors have come to realize that a company worth investing should have not only wonderful managerial performance and promising future, but also integral, reasonable and effective internal control system. The quality of the internal control information a company discloses reflects the fact whether they have established complete internal control system and their understanding of the information disclosing responsibility, and moreover it affects the judgment and decision of investors, debtors, and supervisors. In this dissertation, we applied the internal control information disclosure of public listed companies' as our study objects, and empirically studied the factors that influence information disclosure. Through studying the public listed companies' information disclosing contents, disclosing qualities, and disclosing significances, we try to aware the information suppliers of the importance of internal control information disclosing, help the information users to better understand the public listed companies' disclosing language, and meanwhile to provide the capital market policy makers with suggestions on how to improve the internal control information disclosing policies. This paper bears both theoretical and realistic meanings.This paper focus mainly on three aspects. First, this section analyzed the internal control information disclosure from theoretically. Introduced the connotation and meaning, content, related regulations of internal control information disclosure. Studied the related theories about internal control information disclosure-Stock Market effective theory, asymmetric information theory, principal-agent theory, signaling theory. These theories have a basis and guiding role for the study of internal control information disclosure.Secondly, this article demonstrated the factors which impact internal control information disclosure. This section is the focus and core of the article. It selected the internal control information in prospectus issued by the IPO companies in Shanghai and Shenzhen stock market from 2007 to 2008 period as the analysis object. Constructing multiple regression model, analyzing many factors which impact internal control information disclosure by using descriptive statistical analysis, correlation analysis and linear regression analysis, Whether and how these factors which proposed by assumption affect the level of internal control information disclosure of the IPO companies, the article made a deeply research and explained completely the empirical results .Finally, Based on the above-mentioned study, this chapter presented multiple corresponding suggestions and measures from different dimensions to improve the quality of internal control information disclosure of the IPO companies in China.