The Predication Of Auditor’s Moral Intensity For Moral Decision Making

Reduced audit quality acts threatened the quality of audit, and leaded to the decline in the credibility of the audit profession. So the study of reduced audit quality acts raised the researchers’ concern. However, previous researches concerned more about RAQ acts influencing factors. Coram (2008) pointed out that the moral intensity of RAQ acts were different, and the possibility of auditor engaging in RAQ acts was different, too. However, there wasn’t the measure for moral intensity of RAQ acts and test for the relationship between moral intensity of RAQ acts and moral decision making at home. Through the solution to these questions, the study wanted to look for ways to reduce the RAQ acts and guide auditors to make moral decision.The study used AHP and scenario simulation method to get the order of RAQ acts moral intensity and test the relationship between RAQ acts moral intensity and moral decision making. The results indicated(1) The descending order of RAQ acts moral intensity was "false signoff", "failure to pursue questionable items", "failing to research a technical issue", "not testing all items in a sample", "superficial review of client documents", "rejecting awkward-looking items from a sample", "accepting weak client explanations". And there were differences between China and western country on the order of RAQ acts moral intensity. (2) The moral intensity of RAQ acts had predications for moral decision making, and high RAQ act moral intensity has bigger predication than low RAQ act moral intensity. Only social consensus had significant predications for moral recognition and moral judgement, and these predications were bigger in "false signoff" scenario than in "accepting weak client explanations" scenario. Only magnitude of consequence had significant predications for moral intention, and these predications were also bigger in "false signoff" scenario than in "accepting weak client explanations" scenario.The results supported the moral intensity of RAQ acts were different, and RAQ acts moral intensity had predications for moral decision making. So Tueasury and CICPA should strengthen the audit supervision for the RAQ acts which didn’t leave audit traces in the audit working papers. China should change our audit standard from rule orientation to principle orientation. And the accounting firm could compiled RAQ scenarios of different moral intensity to cases, and make targeted case training to auditors.