Abstract

The proportion of private universities that are established by private property is 80% of college education. Bit many private universities operators have ignored the autonomy and public nature because it established by their private property. This attitude was undermining seriously the fiscal transparency of the private universities through the private interests seeking behavior such as embezzlement. Most of the studies on accounting transparency of private universities are focused on the problem with the accounting standards and rules of private universities. But this study started from the idea that the substantial factor affecting the fiscal policy in the private universities is governance that have decision－making authority of the school corporation. The research was conducted by each of the proposed solutions after confirming the current situation and problems in the governance, audit system, and supervision system areas under the premise that the simultaneous improvement of the three areas. For professional and realistic research, our improvement suggestions about the problems of governance of private universities, audit systems, and supervision systems are based on a survey of accounting professionals. This study suggests a solution to this problem as follows. First, The Board of Directors should be extended by various members associated with the school as the private universities in the United States. It can be blocked in advance accounting issues such as embezzlement, breach of trust by the Board of Directors’ unbiased decision. Second, The Audit Committee should be installed outside the authority of the Board of Directors for independency of audit, and auditing standards for the private universities should be newly established. Third, Problems of the existing supervision system is should be enhanced to level in “External Audit Law”. And all troubled university have to be supervised, and obliged for result with external auditor. The proposed measures in this research offer solutions about this situation that are in conflict with the nature of a private university which is based on the publicity. This will be able to enhance the private universities’s transparency of accounting information truly.

Keywords

• Private University Accounting Transparency
• Governance
• Auditing
• Audit report review system

Related Articles

• Corporate Governance, Accounting Information, and Firm Value－A Comparative Study on Korea and U.S. Capital Markets－

  Joonwhan Oh

  10(4) 75-115

  Abstract Full Text for PDF

• The Association between Earnings Transparency and Dividend Payout

  Ryu, Hyun Soo , Kim, Saerona

  27(2) 9-41

  Abstract Full Text for PDF Full Text for XML

• A Study on Corporate Governance Quality and Shareholder Returns：Focusing on Compliance with Key Indicators in Corporate Governance Reports

  Kyung Suk Lee , HyeJeong Nam

  27(1) 131-171

  Abstract Full Text for PDF

• A Study on the Adoption of Accounting Business Process Outsourcing(BPO) to Enhance Ex－ante Accounting Transparency in Public－interest Corporations

  Bong-Hwan Kim , Hee Chun Roh , Yong-Soo Kim

  26(6) 117-148

  Abstract Full Text for PDF

• Corporate Split－off and Financial Statement Comparability

  Yong Mi Kim , Sang Hyuk Lee

  26(3) 9-33

  Abstract Full Text for PDF