An Research On Board Of Directors Characteristics And Audit Quality In Listed Companies Of Shandong Province

In simple terms,audit quality is the audit process and the superiority of the result, and it is a standard of measuring the accounting informations which is true、reliable、and legal.But America’s famous "Anran event" and frequent outbreaks of financial fraud in China, ring the listed companies audit’s alarm. This kind of phenomenon is the low quality of accounting information on the surface,but it is the governance issues of directors in the listed companies, or the disadvantages in the internal construction of the listed companies fundamentally.The board of directors is the core of corporate governance mechanism,it is also the main regulator of accounting information quality, and the main decision-making power of listed companies. It plays an important role on corporateing governance and coordinating with other relations in the corporate governance. Good operation status of the board of directors can not only guarantee the quality of accounting information to a certain extent, improve the present situation of the audit of listed companies, to reduce the occurrence of financial fraud,it can also improve the efficiency of the company’s organization and management to improve company performance.This paper combines with the listed companies’ reality of shandong province in China. Take the board of directors ‘characteristics, the accounting information quality and the audit quality theory as the fundamental. Analy the correlations of of the board of directors’ characteristics and the audit quality in listed companies of shandong province by empirical research. Improve the internal construction of the board of directors of the company and improve related systems. Improve the quality of accounting information to ensure that the audit status of listed companies maintain on a high level, then avoid the frequently financial fraud.From the Angle of audit objects, this article investigate the relationship between the board characteristics and audit quality, the improvement of the fundamental measures are put forward by takeing shandong province as samples, This article selects nine characteristics of the board of directors such as board size, independent directors, leadership structure, the board of directors incentive, participation of board of directors, audit committee. analyze its correlation with audit quality by using SPSS16.0 pluralistic regression model.In this paper, the conclusion is that:Audit quality is significantly positively related with the scale of the board of directors, participation of board of directors, board of directors incentives, financial background of independent directors.Audit quality is negatively related to the both significantly. Audit quality is positively correlated with independent directors gender,but it is not dramatically. Audit quality is negatively correlated with the proportion of independent directors, audit committee, independent directors average age, but it is not dramatically. Through the analysis of the above information, we can improve the characteristics of the board of directors in the listed companies of shandong province, improve the company’s internal governance situation, then we can improve the quality of audit.