The Audit Assumption System Research

We can define auditing postulates as follows ,it can guide auditing practice, and according to auditing fact and experience existing in the auditing environment, to make some logical or generally accepted reasonings and judgements that are not really known or can't be proved yet in auditing activity, and these reasonings and judgements could be verified by practice of developing constantly. Auditing postulates is the premise of auditing theory, and the basis of setting up auditing theory structure, and the foundation of deducting auditing theory.The centre of this paper is going to set up a auditing postulates structure. Round this centre, the paper studied some basic theory of auditing postulates firstly. In this part, I discussed the relation which auditing postulates and auditing standards emphatically, and thought that auditing postulates was the premise of auditing. After I reviewed the historical contribution and shortcoming of studying of auditing postulates, I put the train of thought of setting up the system in order. Firstly, I confirmed the several principles of auditing postulates structure, and I carried on systematic analysis to the auditing environment. Because the auditing postulates structure which I going to setting up regarded the classification of auditing environment as the foundation, I divided auditing environment into three levels from inside to outwards as follows, inherent regulation of the objective environment, objective environment embodiment in auditing, and the request and inherent regulation of the auditing system operation.The emphases of this paper is the content of auditing postulates structure. I put forward a view, which the auditing postulates structure that I going to setting up regarded the classification of auditing environment as the foundation. In the auditing postulates structure there are three levels as follows, the postulates of inherent regulation of the objective environment, the postulates of objectiveenvironment embodiment in auditing, and the postulates of inherent regulation of the auditing system operation. Under the three levels there are six postulates, including:a. auditing can reveal the mistake and fraudb. auditing findings can produce the social benefitc. auditing information can be reviewedd. auditing criterion are existent and generally acceptede. auditor and their organization can be trustedf. audit risk can be controlledAs auditing postulates is the premise of auditing theory, I validated auditing postulates structure by deducting the element of auditing theory. And I describe the process of deducting with a chart. At the end of the paper, I analyzed the influence that auditing postulates were suffered by our country's special auditing environment, and defined auditing postulates in our country's auditing environment. And I carried on the boldly try that write auditing postulates into audit standards.