Study On Internal Financial Control In Small And Medium-sized State-owned Enterprise

At the fast development period of the global economy, the competition among enterprise has been intensifying. In the market economic system, the enterprise management directly decided its life and death. With the backdrop of the country industrial policies, a large number of small and medium-sized state-owned enterprises are growing rapidly. They might draw surpportion from use the state-owned enterprise political advantage and avoid the keen competition of the industry market, at last gain some good development opportunities. In the good conditions, the financial control weaknesses and issues are covered up. But the weaknesses and flaws in internal financial control of small and medium-sized State-owned enterprises will obstruct their development.AE company, as a typical state-owned small and medium-sized enterprise, on the one hand, enjoyes the political advantage, avoiding the keen competition of the market. On the other hand, it shares much dividend to from the country’s industrial policies to investment all there make it survive and develop. Because of such unique advantages, a large number of companies as AE rise. In contrast to the prosperity, the inner financial control is weaken, checks and balance is lost, internal audit is non-existing.Beginning with the enterprise internal financial control theory.this paper states the historical process, content and function of internal financial control, analyzes the characteristics and flaws of internal financial control of small and medium-sized state-owned enterprises at present.Then describes the internal financial control background and system of AE company, analyzes its lackness. Finally, proposes consummation countermeasure in view of the internal financial control of AE company.Basing on the case study, the paper try to give some proposal to AE company about how to strengthen the internal financial control, in order to provide certain reference value to AE company.