Research On The Determinants Of The Type Of Audit Opinions Of Listed Companies

Financial fraud cases emerge endlessly, it not only makes audit quality become the focus of various circles of society, but also makes the credibility of the CPA, as well as the necessity of its existence be seriously questioned.As the final achievement of the CPA, the types of audit opinions can fully reflect the professional competence of CPA. It quite helpful to the promotion of CPA’s credibility and social recognition, at the same time, it also contributes greatly to the prosperity of the socialist market economy, as well as the formulation of guidelines. As a result, types of audit opinions is going to be paid close attention by government regulators, public companies, investors, and other concerns. This article wants to find correlation and related coefficient though empirical research on large sample volume data between types of audit opinions and relevant target, which include the dependency of audit fees, number of CPA, ST company or not, the scale of Listed Companies, proportion of independent directors, degree of earnings management and some financial target, so that people can have more accurate and rational understanding of the audit report.Logistic Regression Results is showed as follows:whether company is audited by top10accountant firms and the number of CPA are positive correlated with the probability of non-standard audit opinion. The scale of Listed Companies is significantly negative correlated with the types of audit opinion. If Listed Companies establish an Audit Committee, the possibility of non-standard audit opinion will be significantly reduced. Degree of Earnings management and whether it is ST company, are significantly positive related with the types of audit opinion. If the financial situation of Listed Company is getting worse, the probability of non-standard audit opinion it received will be higher. However, the regression result do not supported the opinion that there is a relative relationship among the types of audit opinion, the dependency of audit fees and the proportion of independent directors.