Study On The Costs And Expenses Of AT Company’s Internal Control Based On COSO Internal Control Frame

The cost of internal control of enterprises can’t be ignored in the long-term development. It is an important enterprise internal mechanism of self-regulation and self-discipline. Any business needs to control internal costs, as it can provide protection for reduce costs and improve revenue. Under the current market economy, businesses although there is a fair competitive environment, but with the social progress, the rapid increase in the number of enterprises, the competition is very intense. So, it is particularly important to control costs. For the current shipping and logistics companies, the internal cost control is essential. First, shipping companies gradually showing overcapacity phenomenon in the current competition in the market; Second, due to various domestic and foreign shipping companies are beginning to reduce tariffs and improve service levels to dominate the shipping market, then for most shipping companies, the income level is difficult to transport mate upgrade; Moreover, the shipping industry has its unique cost structure, its main costs of fuel costs, port charges and repair charges, all belong to the impact of external factors, it is possible to do the internal cost control shipping companies apparently can successful operation of the road one step ahead. In summary, The currently shipping enterprises need establish a sound internal costs and expenses control to improve their overall competitiveness. However, regardless of the current theory and practice, the study of the shipping business internal costs control at only a show, on the practical problems of analysis is not deep. For any business, they need not face theory, but the internal costs and expenses control system with their actual business objectives consistent, this paper will make up for this flaw in a goal for issues related internal costs control study.This paper is divided into five part, details of each part are as follows. Chapter One: Introduction. At first, elaborated the background and significance of the article. Secondly, organize domestic and foreign research literature of Internal cost control. Finally, set up research methods and research ideas, overview its innovation and deficiencies. Chapter two: Theory of Internal cost control. Introduces theory of COSO framework, Relevant content of Internal control, Overview of Internal cost control. Chapter three:Status of Internal cost control analysis of AT Company. First, make a brief description of AT Company. Secondly, problem found of AT company about Internal cost control. Finally, analyze the reasons. Chapter four:Complete the Costs and Expenses of AT company internal control Based on COSO internal control frame. First, worked out the whole idea to improve the internal cost control, under the COSO framework based on the theoretical research. Secondly, improve the internal cost control system. Finally, improve the guarantee mechanism for internal cost control system based on the COSO framework. Chapter five:Conclusion and outlook. Through the above analysis of the basic theory of internal cost control, combined with the particularities of shipping and logistics enterprises, improve the internal cost control for AT Company. This paper argues that to develop enterprise internal cost control system based on the characteristics of the industry and the market, AT Company internal cost control systems should be appropriate to improve according to their characteristics.