Empirical Research On Correlation Between Earnings Quality Of Chinese Listed Companies And Audit Opinions

Audit opinion, an identification about the quality of financial information made by the certificated public accountant, is a"the third person"which is separated from the listed companies and the investors. Investors attach great importance to the audit opinion. Investors in the investment decision-making more and more dependent on the information provided in the audit report. Earnings,as an important indicator to evaluate the survival and development capacity of enterprises, is the most comprehensive and important information. It's also a focus noticed by these statement users. This paper researches the correlation between earnings quality and audit opinion, by making use of listed companies'publicly available financial data, adopting a method by combining formal research with empirical research. According to the empirical research results, combining the present Chinese market environment laws and regulations, this paper gives some suggestions about the use of audit report for investors and how to evaluate the listed companies'earnings quality.