The Importance of Internal Control to Enterprises

• Main Authors: KAO,JUI-PENG, 高瑞蓬
• Other Authors: Chiu,Chiung-Lin
• Format: Others
• Language: en_US
• Published: 2017
• Online Access: http://ndltd.ncl.edu.tw/handle/15633029872879110015

碩士 === 華夏科技大學 === 資訊科技與管理研究所碩士在職專班 === 105 === In the past years, there are quite a few public companies conducted financial report manipulation which led to public concerns and unstable social security problems. Consequently, securities authorities have tended to be more rigid in examining the application of listed companies. Moreover, the effectiveness of those enterprise internal controls are paid attention as well. One of the core objectives of internal control is to enhance the quality of financial reports. If there is a lack of internal control in a listed company, whether it is an unintended estimate error or intentional earnings manipulation, it will, for sure, reduce the quality of financial reports. This thesis is to study the importance of internal control to enterprises. There are plenty of studies on the internal control of large-scale enterprises and public companies, but relatively rare on small and medium-sized enterprises. Therefore, we will figure out the operational efficiency of small and medium enterprises, and extract out the applicable internal control mechanism. This paper adopts “documentary analysis” and “questionnaires” as the primary research method. We handed out 1000 questionnaires and 723 reliable questionnaires are returned. The result shows that the applicable mechanism of internal control to small and medium-sized enterprises have significance to Return on Assets ( ROA), Return on Equity (ROE) and Return on Sales (ROS).