Research On Auditing Risk Control Improvement Of A Accounting Firm

From the well-known Enron,World Com events to the "Trina chemical","Huishan emulsion",the financial problems of many listed companies and the increasingly complex audit environment have posed significant risks to the audit services of the firm.This is because the risk of serious misstatement caused by the fraud in the audited entity and the imperfect internal control system,on the other hand,due to lack of competency of auditors,the audit procedures and the review procedure is invalid,leading to the risk of inspection.The audit failure caused by the high level of audit risk faced by the accounting firm has caused a serious impact on the accounting profession itself and the entire audit industry.There is in practice how to effectively identify the audit risk,how to use effective means to resolve or transfer the audit risk,to reduce the joint responsibility of auditors and CPA firm,so as to ensure the healthy development of the audit industry,become a problem placed in front of each audit.Based on the research on the theory and practice of audit risk at home and abroad,this paper analyzes the current situation of auditing risk in A firm,and analyzes the problems existing in the audit risk control of A firm with the accounting branch of Hunan accounting firm.Risk rating is not perfect,the quality control review is not complete,the lack of audit management,audit object risk assessment is not comprehensive,etc,the reason is the firm's own system construction and internal control is not in place.The above issues of audit risk control for A firm can be solved from the following aspects.Improve the risk rating system from the mechanism,refine the rating and strictly implement.Implement the audit review from the execution side,complete the establishment of a scientific review system,and the implementation of review supervision work;From the personnel management,improve the classification training system,the establishment of a reasonable recruitment and compensation system;from the customer point of view,do a comprehensive assessment of customer internal control system,carefully selected audited units.This paper has a profound impact on the audit risk problem which is prevalent in the whole audit industry.It aims to provide some suggestions for the accounting firm to effectively avoid the audit risk in the future practice.