Research On Information Disclosure Quality Of Internal Control

In the recent years, with the occurrence of series of financial fraud cases,investors have come to realize that companies 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 reflecting 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 supervise -ors.Current domestic scholars'researches have been placed on the disclosure of status, form and motivation. Although there are a lot of literatures researching the factors that affect the quality of internal control information disclosure, they only stay in the voluntary disclosure of the internal control. China now has implemented a mandatory disclosure of internal control, so mandatory disclosure stay at the infancy stage.In this essay, we put the quality of internal control information disclosure as the studying objects. Through the empirical model to study the factors that affect the quality of the internal control information disclosure, information providers will recog -nize that the importance of the disclosure of internal control information and informa -tion users will better read the listed company's"disclosure language". Meanwhile, this will provide suggestions to the capital market regulators on how to draw up the rules of internal control information disclosure and improve the efficiency of the capital market.We put forward our concept framework based on the situation of internal control information disclosure through studying the evolution of both foreign and domestic disclosing policies and measurement of disclosing amount, corporate annual reports of listed companies'internal control information status as being explanatory variables, basic features of the company, corporate governance structure and firm characteristics as explanatory variables to establish model.Innovations of this essay is that building the framework that affects information disclosure quality of internal control the quality of internal control information disclosure from the basic feature of the company, corporate governance structure and firm characteristics. Previous studies were mostly focused on the governance structure.