Auditing Of Derivative Financial Instrument Based On Risk-based Audit Approach

After the seventies of the 20th century, the derivative financial instrument play important role in international financial system because of disintegration of Brettons Woods System, and the produce of it was seasoned with need of evading risk. The indeterminacy and complexity of derivative financial instrument brings enormous risk and challenge to auditing. Audit the derivative financial instrument not only discovers risk of corporation, but also advances the creditability of financial report.The article, based on the reference of research achievements in home and abroad and rules and methods of present auditing, introduces some basic problems about the auditing of derivative financial instrument. It includes the kinds and features of derivative financial instrument, and the risk of the auditing of derivative financial instrument. By analyzing the auditing of derivative financial instrument theory, the thesis, combining the theory and practice of risk-based audit approach, research how to fall the risk of derivative financial instrument and how to promote the development of derivative financial instrument.Utilizing risk-based audit approach to audit derivative financial instrument is not only a brand-new topic but also original point in the thesis. The thesis can enrich the auditing of derivative financial instrument theory, and promote the auditing of derivative financial instrument theory system development.This thesis consists of five parts:Chapter 1 mainly expatiates on the aim and meaning of this thesis, and summarizes relational researches in the domestic and abroad, finally generalizes the research content and methods.Chapter 2 mostly discusses the elementary theory of risk-based audit approach and auditing of derivative financial instrument, sums up the research production of risk-based audit approach and auditing of derivative financial instrument, and demonstrates the feasibility and probability of using risk-based audit approach in auditing of derivative financial instrument.Chapter 3 mostly analyses the risk of auditing of derivative financial instrument, and brings forward suggest of evading auditing risk of derivative financial instrument.Chapter 4 firstly concludes the program of risk-based auditing of derivative financial instrument, and sums up how to evaluate the auditing risk of derivative financial instrument.Chapter 5 analyzes the auditing of derivative financial instrument in china and...