Wisdom carry out internal audit to assist the Board of Directors and mangers in inspecting and
reviewing defects in the internal control systems as well as measuring operational effectiveness
and efficiency, and shall make timely recommendations for improvements to ensure the sustained
operating effectiveness of the systems and to provide a basis for review and correction.
Wisdom’s auditing office is an independent department which is directly attached to the Board.
In addition to reporting monthly audit matters to the Board of Directors and Audit Committee,
Audit tracking reports are also submitted to the Board of Directors and Audit Committee quarterly.
There are 2 full time auditors in Auditing office. The appointment, dismissal, evaluation, and
compensation of the Company’s internal auditors are performed based on the rules of the
“Personnel Recruitment Assignments,” “Appointment and Training Assignments,”
“Performance Appraisal Assignments,” and “Application Rules for Resignation.” Their evaluation
is performed once every year. The above-mentioned appointment will be submitted to the Audit
Committee and the Board of Director for review and approval. Performance Appraisal and
compensation actions will be submitted to the Chairman. The above-mentioned rules have been
disclosed in the Company’s nternal Control of Payroll.