The duty of internal audit is to promote the effective operation and management of the company and help the board of directors and the audit committee to perform their duties.

The Audit Department shall submit an annual internal audit report and an administrative work report to the Board of Directors and the President respectively.

2. Internal audit institutions

In order to effectively perform the duties of internal audit, the board of directors grants the internal audit the following rights:

1. According to the annual audit plan approved by the board of directors, the audit department can independently determine the audit items and audit objects within its scope of duties.

2. The Audit Department may, according to needs, appoint auditors to conduct internal audit on relevant units or specific matters. In the audit process, unless otherwise specified, the appointed auditors have the same audit authority as the audit department that assigned them.

Extended data

Importance of internal audit

1, to ensure the establishment and improvement of the internal restraint mechanism and the healthy development of the enterprise.

Enterprise internal audit institutions and personnel rely on professional technology and methods. Through auditing before, during and after the event, we urge enterprises to abide by the national financial regulations and enterprise rules and regulations, find out the problems existing in internal control in time, put forward opinions and suggestions, actively be the staff assistant of leaders and relevant departments, prevent and stop violations of discipline and discipline, or correct and deal with existing problems in time to ensure the healthy and orderly operation and development of enterprise production and business activities.

2. Prevent operational risks and financial risks.

By testing and evaluating the perfection of the internal control system, the internal audit institutions and personnel of enterprises can find out the existing business risks and financial risks in time, and analyze and evaluate the degree of risks with the help of their professional means. It can enable enterprise decision makers and managers to take effective measures in time to avoid business risks and financial risks, or minimize risk losses, and effectively safeguard the survival and development of enterprises.

3. Strengthen the management of enterprise managers.

Through the audit, many corrupt elements were exposed, which not only purified enterprise managers, but also let the majority of enterprise managers learn from them. The increasingly extensive economic responsibility (resignation) audit of leaders in enterprises not only objectively and fairly evaluates the economic responsibility of relevant personnel, but also clarifies their merits and demerits in economic activities, which provides an important basis for personnel departments to inspect and use cadres.

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