The Research On Factors Of Internal Control Audit Fees

Our country is now fully listed companies to implement internal control audit, but the problem of the internal control audit pricing requires that CPA provisions shall be in accordance with laws and regulations, the time to follow the law to ensure the quality of internal control audit, it must also ensure a fair and reasonable cost of the audit, in order to ensure that the internal control audit costs a decisive role in the market. In this paper, the factors of internal control of listed companies audit costs, giving our internal audit more market surveillance, it also provides the accounting firm to audit costs on internal control standards theoretical support.In this paper, the agency, game, market supply and demand and the cost of compensation for the four theoretical knowledge based on cost factors internal audit carried out a series of analyzes. Taking as a model by the phenomenon leads to problems, this paper collected industry typical company’s internal control audit fees to compare. On the basis of literature review and case analysis, the paper summarized the factors that may affect the cost of the audit of internal control, and as a hypothesis, followed expand empirical analysis.Positive Content Selecting 2012,2013 and 2014 All A-share listed companies and a separate disclosure of internal control audit costs of the company as a research samples were studied from company size, the complexity of the audit, corporate governance, accounting firm’s reputation, equity nature, whether integrated audit listed companies location GDP per capita and other factors were descriptive statistics, correlation and multiple regression statistical analysis. The results showed that:firm size and audit fees is a positive correlation, if the company is large in scale, internal controls audit costs will be high; audit complexity equally and internal control audit costs were positively correlated, the more complex the business, the higher the internal audit costs; the better the accounting firm’s reputation, its brand value is high, the internal control audit costs are relatively high; the corporate governance structure of paper selected as an alternative variable proportion of independent directors, that the higher the proportion of independent directors account for the number of directors, internal control audit costs lower; internal controls and audit costs for the state-owned company if the relationship is not significant. We can draw the state-owned listed companies, although appropriately reduce the internal audit costs, but its effect is not significant. This result may be due to the absence of the owner’s influence to the company’s operations during its managers lack supervision and management mechanism, so the "internal control" appeared; Listed company focused on the higher, the higher its internal control audit costs; if it is integrated audit of listed companies, the internal control audit costs low, on the contrary, it is high; the listed company is located in developed economies, the high cost of the internal control audit. After analyzing the above factors internal audit costs, the final chapter in this paper puts forward some suggestions and comments related research and prospects of the future.