RESEARCH ON INTERNAL CONTROL COST AND BENEFIT OF POWER ENTERPRISES

Most of China's power companies have different performances from private enterprises in corporate governance because of their state-owned characteristics. In order to deeply explore the impact of internal control cost of power companies on overall efficiency, this paper analyzes the literature through theoretical review, and proposes research hypotheses. Based on the financial data of 30 power listed companies in 2015-2017, the paper analyzes the relationship between the internal control cost of power companies and the benefits and risks of enterprises. The research shows that the internal control design cost, execution cost and assessment cost of the power enterprise have significant effects on the benefit and risk of the enterprise, and the increase of each cost will improve the enterprise benefit and reduce the enterprise risk