Corporate Internal Controland Financial Performance

The built-in control are an important machine-processed and tool for risk avoidance in establishment,It plays a key role in promoting the merits and competitiveness of enterprises and strengthening the steady development of enterprises.In the face of uncertain risks that may arise at any time,it is all the more significant for companies to use internal control as a tool to slow down the assault of hazards on the enterprise itself.So does built-in control have a energetic impact on financial affairs merits? There are relatively few studies on the relativity between built-in control and financial affairs merits in China,and even less literature that has been empirically tested.This paper intends to explore and analyse in depth the relationship between the level of internal control and financial affairs merits of China’s high-tech public companies,with a view to enriching the research on this trouble,which is of extremely immediate importance.This paper provides theoretical and document sustain for the follow-up analysis by combing the correlation theory to built-in control and summarising the latest research results at home and abroad.The data of high technology public companies in China from 2014 to 2020 were selected as samples,12 indicators were selected using the four capabilities of financial affairs merits to structure the target system to evaluate financial affairs merits,the total value of financial affairs merits indicators(F)of each sample company was obtained as the explanatory variables through the analysis of data factors(principal component method),and the built-in control index of DIBO,executive The data were researched using STATA and SPSS software.This paper makes a further empirical study on the dependence between financial affairs merits and built-in control of companies.After excess syndrome,the main conclusions are as below:(1)The development and research(D&R)investment of high-tech listed companies in China will emerge a energetic impact on the financial affairs merits of enterprises.(2)Executive compensation has a forward direction on financial affairs merits.(3)The built-in control index is similarly positively related to the overall performance F.Thus D&R investment,executive compensation and built-in control all have a forward direction contribution to financial affairs merits.In view of the above-mentioned findings,This article puts advance advice from the companies and government:(1)Increase D&R investment to increase competitiveness.(2)Increase the training and introduction of high-tech talents.(3)Focus on the construction and implementation of built-in control systems.The conclusions and recommendations of this paper provide valuable references for the more robust development of high-tech enterprises in China to enhance their financial affairs merits.