Research On Audit Market And Audit Quality

CPA audit plays an important role in helping the information demanders of enterprises inmaking right decisions,guiding the reasonable allocation of the whole social resources byevaluating the information enterprises provided. So, providing audit service of high quality isthe basis of the CPA profession's existence and development .After more than twenty years practice, our CPA profession had made a rapiddevelopment. But at the same time , it also emerged a series of serious problems. Low auditquality of CPA not only damaged its social image,led to the "honesty" crisis, but alsoprevented the audit function from being realized,disturbed the order of social economic. So,it is very urgent to make a research on the CPA audit quality.This paper pointed out the cause, the character and the function of audit;described thecharacteristic of our audit market;analyzed the quality condition of our CPA audit;thenpointed out that the supply-demand characteristic, the degree of the competition and theinformation dissymmetry of our audit market influenced the audit quantity;analyzed thecause of our audit market characteristic in detail. Finally, the paper pointed to increasing auditquality by regulate our audit market.