Study On Professional Judgment In Certified Public Accountant Audit

High quality of accounting information is the foundation and prerequisite for the fast, efficient development of China’s market economy. Only if the audit personnel have a certain amount of professional judgment ability, it can provide reasonable assurance for the quality of accounting information. Professional judgment of auditing is highly important for the audit work. Professional judgment ability is critical to whether the auditors can complete the audit work effectively. From the1950s, foreign countries began to study the audit professional judgment. However, as the limit of the audit development, the audit professional judgment in our country just started from the1990s. With the development of economy, the audit content has become increasingly rich and colorful, and the public increasingly concerned about the reliability of accounting information. The responsibility of CPA is increasing. In this case, we need to strengthen the theory research on professional judgment, and apply theory to guide the audit practice.This paper starts from the related theories of audit professional judgment, describes the meaning, characteristics and importance of audit professional judgment. Then it analyzes the important factors affecting the audit professional judgment, combined with M’case to illustrate how to use the audit professional judgment in audit practice, finally according to our country present professional judgment puts forward suggestions on how to improve the quality of audit professional judgment. In the course of the study, this paper mainly adopts the methods of literature research and case analysis, drawing on the results of previous study formed the basis of the theory. The full text altogether is composed of five parts:The first part is the introduction, which introduces the theoretical and practical significance of the topic, reviews the research status of professional judgment of audit, and summarizes the research ideas, methods, innovations and shortcomings.The second part is an overview of this paper. It analyzes the meaning and characteristics of audit professional judgment and analyzes the importance and standards of professional judgment.The third part describes the factors that affect audit professional judgment. This part of the analysis from three aspects, the object, subject, environment factors, and a comprehensive account of how these three factors influence and effect to audit professional judgment.The fourth part is the case analysis part. By introducing and analyzing M company’s image, the paper shows how to use the professional judgment of CPA in auditing practice.The fifth part puts forward recommendations to improve the quality of the professional judgment through the analysis of the current situation in China professional judgment of audit. The suggestion part introduces from three aspects of the external environment, auditors and accountants, and analyzes how to improve the quality of our audit judgment according these aspects.