Government Auditing Risk

In recent years, all over the country audit institutions and auditors in various administrativereconsideration and lawsuit, brought a lot of adverse effects to the audit institutions and auditors.Especially in2003after the audit storm, the society of the government audit increasingly attention,with the government accountability system was implemented, the implementation of auditdeclaration system, audit risk has been dominant, audit risk is an unavoidable reality in front ofgovernment auditing organs and auditors. The causes of government audit risk is a complex,multifaceted, runs through the whole process of audit activities; hazards of government audit riskis multifaceted. At present, the research of audit risk of our government has not yet formed acomplete theory, prevention and control of government audit risk is the lack of theoreticalguidance, therefore, study the reason of audit risk in China, and to take effective measures toprevent and control of government audit risk is very necessary. At the same time, to improve thetheory of government audit by the audit risk of government, but is important for the promotion ofthe government audit practice work, in promoting the development of audit, set up the authority ofthe government audit office also has important practical significance.This paper first analyzes the theoretical background of government audit risk, and the domesticand foreign literatures, proposes the research goal and the mentality of this article. By using theasymmetric information theory, interest group theory and other reasons of government audit risk’smanifestation, analyzes the causes, combined with the case of the government auditing risk indetail, and the basic methods of risk prevention and control of government audit done into refining.Prevention and control of government audit risk is not isolated, it is a systematic project, involvingall aspects of the work of the audit, we must proceed from the aspects of the audit work, throughstrict preventive measures, can effectively control the audit risk. Improve the preventive measures,is always the most effective method to reduce the audit risk. Audit institutions in the audit plan todo save, besides making the detailed audit plan, should also be the entity to be audited for riskassessment, determine the audit priorities. At the same time to strengthen the auditor’s sense ofrisk, so as to maintain a strict work style in the audit activities, in strict accordance with theimplementation of the audit process audit operations, and strengthen the supervision andinspection work of audit group, to correct the problems in time, will be formed in the beginning ofthe audit risk control. With the establishment and perfection of the market economic system of ourcountry, the system also gradually on track, I believe that in the near future, the government auditrisk theory research will step to the last new step, to provide effective guidance for ourgovernment audit practice, so as to reduce audit risk.