Research On Relationship Between The CPA Property Form、Scale And Audit Quality

With economic development, audit role has become increasingly important. Audit quality is the lifeline of Certified Public Accountants, which will determine the survival of the CPA. To a certain extent, Audit quality ensures the quality of financial information of listed companies, which is an important factor to protect the interests of investors and maintain market stability. Auditing theory and practical experience has shown that the CPA property rights form and scale is closely related to the audit quality.With the expansion of the enterprise, its business has become increasingly complex. It deepened the difficulty of the audit and a small ordinary CPA may not be able to assume the audit business of large enterprise groups. In order to adapt to the economic development, and to catch up with the pace of enterprise development, coupled with the "big four" international influence in China, domestic CPA set off a wave of consolidation in an attempt to transform a large-scale CPA by merging in a short period of time. In theory the larger CPA, the higher the quality of audits, this conclusion has been proved in practice. However, with audit failures frequently exposed in China, Is this conclusion of the larger CPA, the higher the quality of audits true? Many people raise doubts with it.In1998, because of CPA decoupling reform, many CPA chose the form of limited liability and some chose the form of a general partnership. However, in the continuous development of the CPA, the two forms of organization gradually highlights the drawbacks, hindering the development and expansion of the CPA. Thus, in2010the Ministry of Finance issued "implementation details about large and medium-sized accounting firm was converted into a special general partnership CPA ", which actively encourage large and medium-sized CPA transformed into a special general partnership. In theory, the special general partnership form of CPA provide higher audit quality.Based on the above two aspects, the paper regard the2011A-share listed companies in Shanghai and Shenzhen City Board as research subjects and test the relationship between the ownership form of CPA, size and audit quality by empirical methods. The results showed that there is no significant relationship between the ownership form of CPA as well as the scale and quality of auditing, financial indicators of listed companies has a significant impact on audit quality. In response to this phenomenon, the paper analyzes the cause and gives the corresponding policy recommendations. Finally, the paper concludes with a list of the inadequacies and the outlook,which can be helpful for future research in this area.