| China’s educational training industry has been witnessing a rapid development in recent years,training companies have great momentum.More than one million of training companies in China include 20% increment in some certain segment markets,several giants are listed.As medium-size companies,training companies have some limitations on operation conceptions and management model.KZ training company,authorized by NJ municipal government,had gone through a serious loss during the transformation of teaching material caused by the mismanagement of fixed assets.It is necessary to strengthen internal control,build a systematic internal control framework which plays a significant role in guaranteeing the completeness and safety and preventing the loss of fixed assets.Based on Contingency Theory,Asymmetric information theory,Control Theory and Stakeholder Theory,relevant materials and information of KZ Corporation have been collected and the flow path and critical control point(CCP)of fixed asset internal control have been analyzed.According to the COSO framework,this paper analyze the problems exist in KZ company.Based on the problems,the paper has given improvement suggestions.According to the case study of KZ Corporation,the existing problems in KZ Corporation are lack of company culture in internal control,the imperfect risk assessment system,and unreasonable fixed asset management flow path,defective built of information exchange approach and problematic internal supervision machinery.Improvement on the control of fixed assets means to establish good company culture,improvement employees’ awareness of fixed asset internal control,establish well-organized company,strengthen financial control on fixed assets and hire high-qualified employee;improve risk assessment system by setting up risk identifying position and handling system;upgrade fixed asset internal control in purchasing,testing,repairing and depositing;build internal and external information exchange and develop auditing department or position with supervision system to guarantee the all-round supervision of fixed asset. |
