Risk-based Audit Model Study

Along with the development of our market economy, the independent auditing, which is looked as a specialized occupation that provides assurance service, has already drawn more and more attention. However, with the imperfection in the system and the vigorous competition in the market, lots of auditing failure comes out in China, audit risk issues become the focus of accounting professionals. Many scholars believe that the application of risk-based audit will contribute to the improvement of auditing quality.This text masks a research in the auditing mode with the comparative method. It introduces the risk-based auditing, which is now widely used in western countries. This text analyzes the background, characters and theory system of the risk-based auditing, and then discusses how to assess the audit risk. At the same time, this text makes a research on the auditing mode currently used and external environment in our country. It studies the necessity and possibility of the application of this auditing mode in our country, and also emphasizes several points that should be noticed in using it.