Case Study Of Internal Audit Of Yaxing Chemical

State-owned enterprises are important force in the economic development of our country. Along with the reform of state-owned enterprises, the management mode and management system of state-owned enterprises have improved. But there are still some imperfect corporate governance and internal control problem. In some state-owned enterprises the viewpoint of risk in practice and internal control are weak. Accounting issues is not rigorous. These problems hinder the development of state-owned enterprises in our country. Internal audit plays an important role in improving corporate governance and internal control and preventing financial risks. With the development of internal audit in recent years, internal audit department has become an important functional department in improving internal control and the competitiveness of enterprises. And it plays an increasingly important role. The study of internal audit case has strong practical value. This paper selects a state-owned enterprise as the research object of Shandong SASAC supervision, and analyzes the problems faced by internal audit in practice.This paper selects Weifang Yaxing chemical Limited by Share Ltd. (hereinafter referred to as the Yaxing chemical) as the research object, the company was established in the late 1990s, Yaxing chemical is state-owned chemical companies, mainly in the production of chlorinated polyethylene (CPE), ion-exchange membrane caustic soda, hydrazine hydrate, ADC foaming agent and other products. Along with the development of the reform of state-owned enterprises, and the theory of internal audit, internal audit in Yaxing chemical constantly changing. Research on internal audit of Yaxing chemical, have certain reference significance for the development of Chinese internal audit.The internal audit of Yaxing chemical has experienced twenty years of exploration. Yaxing chemical found the adaptation model of the enterprise gradually, The corporate governance structure makes the internal audit institutions independent and authoritative. In practice, the internal audit institution not only audit, but also pay attention to the control in advance and the event. The internal audit carry out purchase and sale audit economic contract audit and project audit. It forms the "whole process" and "three combination" of the audit approach. Audit institution with outstanding professional competence ability, independently and efficiently, carry out internal audit work, and have filled the loopholes in many internal control, to avoid many of the risks encountered in the operation. The internal audit activity has standardized the management of the company and improved the enterprise risk prevention and control ability, and has made a great contribution to improve the economic benefit of the company.However, the internal audit work of Yaxing chemical also has many deficiencies. Yaxing chemical has repeatedly been SFC penalties for non-compliance of financial information. The internal audit institution mainly invests the main audit resources in the financial accounting supervision, the internal audit scope of business scope is difficult to meet the need of enterprise development management. Due to the size of the internal audit team and professional structure, the auditor is difficult to carry out large-scale audit work, it is also difficult to carry out audit projects outside its field of finance. Other departments lack the necessary understanding and support to audit work, to a certain extent, reduce the quality of audit work. In the existing powers of the audit department only have the right to recommend and the right to the implementation of the audit opinion. But it lacks of effective supervision of the implementation of the audit opinion. These problems have seriously hindered the full play of the internal audit function.The author,combining the basic theory of internal audit, according to the actual situation of Yaxing chemical, analysis Yaxing chemical existing problems in internal audit and the causes of these problems and put forward countermeasures and suggestions.