Research On The Correlation Between Corporate Governance And Audit Fees

External auditing and corporate governance are closely linked,which is Mutual restraint and mutual promotion each other.External auditing not only provides quality reliability information for corporate governance and ensure internal economic interests to perform their responsibilities and obligations,but also play a key supervisory role in the disclosure of financial statements,providing a good hotbed for the success of corporate governance.But all of these are inseparable from the laws and regulations of corporate governance and the company for the audit quality of a high degree of attention and efficient investment into the auditors,so as to promote the company's development and improve corporate governance.Shareholders' dividend income is the maximization of shareholder interests,while in the agent management mode,the excellent manager is the direction of the company's business leader and the core competitiveness of the company's development.How to effectively restrain the manager by giving its supervision and encouragement in order to make progress with the interests of companies and shareholders?This question is also the goal of corporate governance.The emergence and development of the audit is a means of coordinating the link between the shareholder and the agent.Recently more and more joint-stock companies imply corporate governance in the development process.So to focus on corporate governance and audit fees related research is also particularly common.In 2001,China's listed joint stock companies were asked to disclose audit-related expenses in their annual reports for the first time.That can not only Provide reference information about the contents and charges of audit service products for the majority of the company stakeholders,but also provide a large amount of data analysis basis for the relationship between audit fees and audit quality in the side of academic.This paper reviews the related research literature of corporate governance and audit fees at home and abroad;explore the impact of corporate governance on the cost of audit fees.Besides,select number of companies disclosed audit fees data between the year 2010 to 2014 from Shanghai and Shenzhen A-share market.A multivariate linear regression model was established.And carry out descriptive analysis and multiple regression analysis.Then summarize the regression results through the model correction and model summary.Through the theoretical analysis and empirical test,we can summarize the following conclusions:There is a strong correlation between corporate governance and audit fees.A good corporate governance structure on the one hand can reduce the company's audit fees,and can promote the external audit of the company's positive impact.The certified public accountant can conduct an effective audit method with scientific and reasonable to avoid risks and reduce audit fees.At last,Whether our country's audit market is standardized,and whether the capital market is healthy is inseparable from the optimized corporate governance structure.This article contains a total of six chapters,the main sections are as follows:Chapter one:Introduction.Mainly include the starting point of this paper namely,research background and significance?research content and method?definition of the two variables of corporate governance and audit fees and the innovation.Chapter two:Literature review.This paper expounds the study of the problem from two aspects:the influence factors of audit fees and the impact of corporate governance on audit fees.And make a review of the literature.Chapter three:Theoretical analysis.Analyze how the internal governance structure introduce the audit fees mainly from the corporate governance basis including the basic theory.Set the variables and put forward the hypothesis,the risk of corporate governance,the main body of the corporate governance three factors.Chapter four:Empirical analysis.Writer designs the empirical study on the impact of audit fees;The relevant variables and data sources are described and the empirical model is constructed.Chapter five:Empirical test analysis.Use the total 5 years data from 2010 to 2014 as a sample study with deleting those data that the company has no audit fee data.The regression results are summarized by modeling and model correction.Chapter six:Conclusions and suggestions.According to the empirical results,the conclusions and suggestions of this paper are given and with which it gives some suggestions:First,make recommendations to improve corporate governance.Second,strengthen its sense of responsibility to improve the audit price market.Third,the government should optimize the system from.In addition,there is description about the prospect of this paper.