This paper proposes an algorithm for computer aided assessment of the Chinese subjective answers. By analyzing the considered factors of teachers in the hand-operation procedure and applying sentence similarity algorithms based on How-Net and dependency syntax, a new automated assessment algorithm is designed to assess the student answers in the level of word and sentence, taking into consideration keywords and sentence structure what are two nonnegligible parts expressing the complete thought of a sentence. The experiment has been performed to evaluate the availability of the algorithm by comparing to the result derived from the existing one.