Research On Auditor's Adverse Opinion Of Internal Control Audit Report

In May 2008,China formally promulgated the "basic norms of internal control".Then in April 2010,China has introduced a "corporate internal control supporting guidelines",the internal control of enterprises gradually more concerned about the relevant sectors.At the same time,China's internal control system is being improved step by step,in the implementation process which need to pay attention to the relevant supplementary rules are constantly optimized,and internal control related laws and regulations system is gradually sound,related scholars gradually focus to the audit of internal control.Especially in 2014 the regulatory authorities mandatory disclosure of internal control of enterprises it makes the regulators and stakeholders to better understand the situation of enterprises,but also can better protect the rights of all concerned.In recent years,China's internal control disclosure gradually concerned about the parties,especially in 2011,Xinyong Certified Public Accountants for Xinhua Pharmaceutical issued the first adverse comments on the internal control audit report,opened a adverse opinion of the internal control of ice-breaking move.Followed by a ripple,this adverse opinion of the internal control report has caused various aspects of personnel research and exploration.Over the next few years,the number of internal control audit reports of adverse opinions has gradually increased.But the internal control more and more people's attention at the same time,the auditor for the audit of internal control behavior is appropriate,whether the internal audit report for the public to fully reveal the defects of internal control of enterprises,the future of China's internal audit as to how to improve,is still worthy of our deep thinking.This paper selects typical cases.The purpose is to solve the following three questions:First,the auditors in the process of internal control of the audit process,issued a adverse opinion of the internal control audit report based on what is the basis of judgment?Second,what subjective and objective,as well as internal and external factors will affect the behavior of auditors?Thirdly,because of how to further constrain the behavior of auditors,the internal control audit report can be more complete presentation of the internal control of the enterprise defects?The article first puts forward the background and significance of the topic.Secondly,the literature review and theoretical basis are expounded.The third part and the fourth part respectively describe and analyze the whole case.The third part mainly analyzes the present situation of Yingji and the corresponding problems in the internal control of the enterprise,including the background of the case,and explains the enterprise from the corporate governance structure and the operation situation.In addition to the 2014 and 2015 lead to Yingji was issued a adverse opinion of the specific problems of internal control deficiencies were described.The fourth part is the auditor's behavior analysis,mainly about why the auditor will issue the negative opinion,what factors affect the auditor's behavior.At the end of the article,the above questions are summarized and comments are made on how the auditors' actions are to be further improved.In this paper,through the analysis and research of Yingi case,this paper aims to excavate the factors that affect the behavior of auditors and think about how to put forward the suggestions to restrain the auditor's behavior,so that the audit opinion issued by the auditor can respond more comprehensively to the internal control the defect.In addition,although China's internal control system is developing step by step,but because of the late start,so the regulatory system is still not perfect,especially in the implementation process of the relevant rules and regulations still need to be further improved,so the auditors in the internal control audit report issued Often to a large extent able to drill the loopholes in law.This article also put forward some policy recommendations for China's internal control system in the future implementation of the reference.