Audit Supervision Study On Our Country's Independent Audit Relationship Distortion

Proper independent audit relationship is the base for audit independence, and also the basic of audit market's smooth operation, but current relationship in independent audit is disturbed; and also, there are many problems in audit supervision which cause audit supervision not powerful enough facing independent audit disturbance. There are many contacts between independent audit relationship and audit supervision as follows: information dissymmetry between operator and owner need audit supervision; sufficiency of information operator provide to auditor need audit supervision; auditor executive to owner's intention need audit supervision.The problems on independent audit relationship and audit supervision in our country are as follows: first, distorted 3-parties relationship; second, low efficiency and rent-searching of government supervision; third, poor self-discipline ability of audit association. These problems have serious harm to independent audit. Based on economical person theory, entrusting theory, information dissymmetry theory, and rent searching theory, this article analysised the cause of these problems as follows: inner person control and owner absence in state owned companies; auditor dependence on enterprise operator; unbalance of enterprise entrust-deputy relationship; information dissymmetry between owner and operator; government privilege; independent audit trade self-discipline mechanism not good enough.To deal with above problems, this article come up with some countermeasures: first, introduce audit deputy in optimized independent audit relationship model, to amend distortion of audit relationship; second, introduce independent supervising council in audit supervision model based on the first model, to optimize audit supervision mechanism; third, optimize governance structure of state owned enterprises; fourth, alleviate information dissymmetry between enterprise owner and operator, fifth, prohibit rent-searching action of government, sixth, set up a good self-discipline mechanism in audit trade. In conclusion, improving independent audit relationship and reinforcing audit supervision is a long-lead task in independent audit trade.