Research On Auditing Risk Control Of Related Party Transactions

Nowadays, with the steady progress of our country economy, most enterprises between transactions have become more and more, a large amount of money is also a few years ago can not be compared. Financial fraud cases in recent years, nine times out of ten in the related party transactions, enterprise in order to reach of secretly transferring enterprise profit, reduce the enterprise bear the tax purposes will deliberate concealment or fictional related party transactions, which seriously affected the the normal market economy order. At the same time, the forms and means of related party transactions are more and more complex, the implementation of a simple audit procedure is not to achieve the reasonable level of audit risk control. The research of this paper is to reasonably control the audit risk of related party transactions, maintain the normal economic order, and promote the development of good and stable economy.First of all, this paper summarizes the contents of the audit risk of related party transaction, classification and characteristics, clear the product of audit risk and audit of material misstatement risk and inspection risk, due to the risk of material misstatement audit is the objective existence of, what the CPA can do is on the level of assessment, but not by rigorous professional level to achieve the control purposes, CPA only through their own professional level reached control goal is as far as possible to reduce the risk of inspection. Related party transaction audit risk control is divided into three parts: first, analysis of the audit risk of related party transactions, first to analyze is the audit of the audit of related party transactions situation, further that the problems existing in the audit of related party transactions; second, relevant audit risk identification and assessment, in accordance with established procedures to related party transaction identification, the identification of audit risk of related parties again and then the situation comprehensive early identification of, are evaluated; the third, control of audit risk of related party transactions, from the perspective of the registered accountant to clear how to reasonably control the audit risk of related party transactions. At the end of the two positive and negative cases were compared with each other. Were introduced Shanghai Jiahua related party transaction audit success case, corresponding to introduce Kang Chi pharmaceutical related party pay audit failures, and skilled in using related party transaction audit risk control process.In this paper, we mainly use two kinds of research methods, namely, normative research method and case analysis method. First, normative research method. Through reading and studying the relevant literature to obtain theoretical knowledge, so as to have a better understanding of the topic of the research history and the present situation, first thus formed for a preliminary understanding of the research object. Secondly, the method of case analysis, in the case, combined with the case of draw practical strong process control related conclusion by Shanghai Jahwa related party transaction audit success stories and Kang Chi pharmaceutical related party transaction audit failure cases in two contrasting case for in-depth analysis, to draw the control flow and vivid description of the application of theoretical knowledge in the pragmatic economic reality, so as to achieve the related party transaction audit risk control purposes.