Research On The Effects Of Internal Control On Corporate Value

The enactment of the Sarbanes-Oxley Act has opened the prelude to the internalcontrol, Since then, the internal control has been a hot issue of the theorists and practicalresearch. Internal control study abroad has formed a relatively complete and maturetheoretical system, however, compared with the foreign internal control study situation, ourinternal control of a late start, basically still stuck in the policies and regulations andtheoretical specification stage, not formed yet perfect, unified theoretical basis. April26,2010by the Ministry of Finance and other five ministries jointly issued the "EnterpriseInternal Control Guidelines, and enterprise internal control basic norms ", marking thedomestic control standard system has been further improved. Currently, most of ourenterprises to establish and perfect the internal control is still a lack of initiative, mostlyjust by policy enforcement, which led to the chaotic management of internal control,accounting information distortion, have hindered the long-term development of theenterprise. Therefore, this paper analyzed and studied the impact of internal control onthe enterprise value.This paper uses a combination of theoretical analysis and empirical testing methods, the description and testing the impact of internal control on the corporate value. First, thepaper reviews the theory of foreign and domestic internal control and corporate valuerelationship analysis of the research status of the internal control of corporate value. Then,expounds the main contents of internal control and corporate value, analyzes the internalcontrol in enterprise management role and influence on the corporate value. In addition,the combination of the empirical analysis, this paper makes quantitative analysis of theeffect on the value of enterprise internal control. Finally, on the conclusions of this study, itis proposed to improve internal control measures to promote the effectiveness of internalcontrol, finally realize the goal of maximizing the value of corporate.