Study On The Relationship Between The Internal Audit And Earnings Management Of Commercial Banks

With the continuous development of economic globalization Internal control is the management and organization of activities developed to a certain stage of the inevitable product.It is the inevitable requirement of enterprise management,its core purpose is to ensure the quality of financial information.Earnings management is within the scope of accounting standards allow managers to use accounting methods or arrange transactions to change the real financial reports make an act of distortion.Although the short-term earnings management to meet the operator's needs,but also lost objectivity and neutrality.Thus,regulators have introduced policies scholars also study the internal control issues.Throughout the domestic and foreign literature,research on internal control and earnings management usually without involving general banking.The stability of the commercial banks is related to the stability of the national economy,so that such an important position make the motivation of earnings management,earnings management have provoked a study of the industry.And people are concerned about the bank's internal controls from the beginning of the collapse of Barings.In recent years,the bank's internal control vulnerabilities occur frequently,the CBRC in September 2014 released revised"Guidance on Internal Control of Commercial Banks' it shows the importance of internal control of commercial banks.Analogy other companies,internal control and earnings management of the bank's may also have some relevance.Therefore,the study of it is the current problems to be solved.In this context,this paper takes the relationship between commercial banks internal control and earnings management to meet the point,select the relevant data listed commercial banks in recent years,statistical analysis,based on the model of Jones and Jones extended model for the special nature of commercial banks make minor improvements to measure the degree of earnings management of commercial banks.Through ICQ to measure the quality of internal control degree of internal control.SPSS16.0 using sample data correlation and regression analysis.The results proved that,the degree of internal control of commercial banks affect the earnings management behavior,high-quality commercial banks internal control can suppress the level of earnings management.Finally,According to the study results,Propose the method and suggest to curb irrational earnings management.