Research On The Risks Of Material Misstatement Assessing Of Auditing Based On Case-Based Reasoning Method

In recent years, cases of audit failure occur frequently, it revealed gradually internal control failure and traditional risk-oriented audit approach is outdated, so Risk-based strategic-systems audit approach is inevitable. To understand deeply auditing unit and its surroundings, to assess its risk of material misstatement is the core idea of Risk-based strategic-systems audit approach. Assessing risk of material misstatement become necessary first audit procedures, this will help auditors design and implementation audit process, achieve at the ultimate audit objective. Therefore, under the condition of audit defeat case increasing and audit risk accretion all over the world, it is very important to study assessing the risks of material misstatement with technology advantage of computer auditing.This paper brings forward Case- Based Reasoning, which is a relative mature technique of artificial intelligence domain, is introduced into audit risk assessment research after reviewing and summarizing the scholars researches of audit method and audit risk assessment. Meanwhile the paper applies Risk-based strategic-systems audit mode, risks of material misstatement is analyzed from over financial statement and assertion level, advanced technology of computer auditing is also used in diverse audit analysis procedure. Qualitative indicators combine with quantitative indicators in order to construct Structure of identification and assessment of risk materially misreport based on CBR. Related research and analysis, which is some of the key points, key technologies and the realization of the strategy in the system, is done in the thesis.This research tries to setup a scientific evaluating system, to identify and estimate the risk of material misstatement factors more correctly in auditing, it will achieve at debasement of audit risk by avoiding blind audit effectively, using audit resources reasonably and making pertinent audit program. This paper is making a new attempt both on the application of Case-base Reasoning and on the research of auditing risk assessment. Above all, we hope make a reference function for the relevant application and scientific research.The dissertation has two innovations. On one hand, case-based reasoning technology is introduced to the audit risk assessment study, on the other hand, use of Risk-based strategic-systems audit mode, meanwhile the technological advantages of computer auditing are applied to the diversity audit data analysis. What are to complete a system which case-based reasoning risk of material misstatement evaluating. Innovations intend to combine the advantage of auditors' experience with the advantage of computer technology in order to share audit resources and reference to the previous auditing risk assessment results. It will make risks of material misstatement assess more scientifically and reliably.