The Study Of Relationship Between Internal Control And Audit Committee Of Domestic Companies

How to manage a company is one of the core issues refer/related to our economic reform, the purpose of an enterprise's organization is maximizing its benefit; this is a check-and-balance system which is made up by general meeting of shareholders, board of directors, managers and supervisory. Internal control is the possibility of acts which is launched by management, auditing committee and others for the purpose of strengthening risk management, increasing the achievement of established goals by management,.Internal control is a process and a method to achieve its objectives rather than the result itself. The purpose of internal control is to achieve its single or multi objectives. It consists of five sectors: control environment, risk assessment, control activities, information and communication, and supervision. Internal control is an important element of a modern enterprise management, it is a control activity of production and operation, financial and property management which is established by company in order to achieve its management goal. It's necessary to strengthen internal control and form an integrated containment and supervision system. This is an important mission of current enterprise management. To improve the internal control system, it has to strengthen the company management organization.Auditing committee is , in the company that manage structure of the importance constitute part, auditing committee is the important organization of the internal control of the listed company. Auditing the committee system is the control system of a kind of business enterprise inner part which originates British and American methods to fasten, it for insure a company finance to manage a mechanism of normal the movement then promotes an information to publish quality to have an important function. Auditing the committee can keep finance from reporting availably of dishonest publish, cheat several embezzle a circumstance, help a board of directors relief law responsibility.Along with the establishment of the market economy system and the modern business enterprise system, the business enterprise of our country starts investigating and sets up the company of science to manage structure, and start expanding audit committee system, manage structure by perfect business enterprise and promote the listed company norm operate.The paper, through introducing the birth and develop around the world to explain that auditing committee is actually a internal audit, it is a internal control and a part of company management. It was developed from professional organizations, legislature, and jointly push enterprise itself. Even the auditing committee is of sufficient authority, objective and competent, it can exert its function effectively. This text controls and audits committee from the inner part of the concept content commence, building up the necessity which audits committee and internal control through analysis and research, and audit committee and inner part control at our country of usage present condition, and make use of some domestic and international data in of valid data establishment model, to both of the relation carry on a theories research. A little bit textual and creative lay in to draw lessons from a related data, establishment model, carry on substantial evidence analysis, studied to audit a committee relationship with internal control further.