Structure and Measurement of University Financial Risk

Abstract

Since the 1990s, higher education in China has expanded significantly. In 2020, the gross enrollment rate will reach 54.4%, and the total number of students in higher education accounts for one-fifth of the total scale of higher education in the world, ranking first in the world in terms of scale. The scale of higher education in China has grown, and the continuous increase in investment in higher education funds has increased the difficulty of controlling financial risks. Strengthening the prevention and control of financial risks in colleges and universities and strengthening the construction of internal control will be of great significance to the healthy development of universities. To understand the sources and causes of financial risks in universities, this study interviews the financial staff of S University and constructed a structural map of financial risks in universities using the grounded theory method to obtain data. The researchers compiled a questionnaire to study the financial risk of universities, distributed and received back 308 questionnaires at S University. By analyzing the survey data, the constructed structure of the financial risks of the university was verified.