Research On The Control System Of Audit Quality Of Certified Public Accountants In China

The audit business of public certified accounting in our country started quite lately, however, it has developed with a rapid speed. In spite of the prosperous situation, the phenomenon still exists that the level of audit quality is low. It is a serious problem in face of CPA profession at presents that how to improve audit quality in order to satisfy the needs of the stock market even the market economy in our country. Therefore, carrying out a research systematically on audit quality concerned in connection with the particular characteristics of CPA business in China, not only has theoretical value to some degrees, but also makes important realistic sense.The current situation of audit quality of CPA in China fails to be optimistic. The main reason is that a great number of factors exert a disadvantageous influence on audit quality. These factors include external environment, audited customers, audit firms, and audit practitioners. This paper made reference to advanced experiences of foreign countries on setting up and improving the system, and put forward several suggestions to perfect the control system of audit quality in China from three aspects. In particular, the paper emphasized on such policies: to build and enhance the index system of evaluation on business quality in audit firms, to rectify the regulations on peer review in order to be clearer and easier to be carried out, to improve the structure of audit market and raise the market concentration, to request listed companies to disclose other fees except audit in order to enhance the transparency of information, to enable audit committees perform their duties to confirm auditors' independence, to promote audit firms to provide corporations with morals service. In a word, these measures could generate suitable conditions for audit quality of CPA.Although the control system of audit quality in our country fails to mature, main participants at each level of the control system have realized the seriousness of the problem, and began to take a series of measures. With the advance of research and development of practice, the completeness of the control system of audit quality in our country would be improved to a greater degree in the near future.