Research On Auditing Countermeasures Of Related Transactions Of Listed Companies

With the continuous development of China capitalist market economy,the relationship between related parties and their transactions is widespread in modern market economy.In order to maximum strategic advantage and expand their management scale,some publicly traded companies always league subsidiaries or corporate with others under the same interest,through financial cooperation and co-development of the market for the integration of productions and marketing.Therefore,the connection is built between these cooperative or joint ventures,and also among the parent company and their subsidiaries.Because of this kind of connection,the one part can always control or intervene on financial management and decision making to the other.Thus,the injustice transaction comes into being.Since the related transactions are often complex and hard to be accurately identified,which largely makes accounting firm's audit work more difficult,and also increases the audit risk.There is also no lack of cases in China capitalist market,Jade Bird Huaguang comes as an example.Thus,launching researches on the phenomenon,which causes audit failure by using of undisclosed transaction information is highly necessary to reduce the incidence of unfair connected transactions.In this paper,firstly,introduces the research background,its significance,further makes the sum of the prior research and literature review,and also states the frame of the researches.Next chapter is concerned with the basic theoretical concept.First,introduces the relevant theoretical basis,including the definition of related party and related party transactions,the risk of related party transaction fraud audit,and finally finally also states clearly about the commonly used audit of related party transactions method.The third chapter,based on the previous material,expands to analysis the example case of Jade Bird Huaguang related party transaction audit,including its brief introduction,the reason why the CPA failed to work,and significance.Further raising my suggestions based from perfecting corresponding laws and rules,also from strengthening company and audit institution inner management,and clearly stating the importance of audit.And the last chapter is conclusion,which includes summary ofthe whole paper and the prospect.