Research On The Audit Independence Based On The Entrusted Pattern

Independence is an important element of modern audit and it is the soul of certified public accountants audit. There are many factors that influence the independence of audit, and the current imbalance of audit principal-agent relationship is one of the important factors. Throughout a series of financial fraud and audit failure case can draw its root lies in the modern audit entrust mode of "the absence of the actual client". Independent audit involves not only the certified public accountants but also the enterprise operators and the managers, when the audit services that provided by the certified public accountants occur quality problems frequently, we need to find the reasons not only from the auditor that provide audit services, but also need to find the insufficient system of the audit service arrangement, and solve the root of the problem from improving the system. Therefore, we need to improve the existing auditing entrust model to solve the lack of auditor independence.This paper firstly elaborates the theoretical basis of audit entrust pattern and the development process of it, and based on this, research of the audit entrustment pattern of the listed companies in our country, including the research of the present situation of the audit entrustment pattern,the existing problems and the reasons why it causes the audit defeat. This paper studied the typical reform method of the current auditing entrust pattern in China including the financial statement insurance pattern, the audit committee pattern and stock exchange bidding pattern,and elaborates the advantages and disadvantages respectively. In view of the reform defects of the entrustment pattern in our country, the author proposes the "election-appointment separation" audit entrustment pattern. Then elaborates the "election-appointment separation" entrustment pattern, and discusses the problems that should be paid attention to this entrustment pattern. Through the audit defeat case of the ST Chuangzhi company, the paper elaborates the defect of the present audit entrustment pattern, and the role which it may play if uses the "election-appointment separation" audit entrust pattern. The case of the ST Chuangzhi company has further demonstrated the necessity of reform of the present audit entrustment pattern and the validity of the "election-appointment separation" audit entrustment pattern.