The Application Of Audit Risk Model Based On Risks Of Material Misstatement Of Listed Agricultural Companies

Since the securities market has become more standardized,public listed companies have emerged in an endless number of financial corruption cases that have been exposed to public companies of the world,and the proportion of agricultural listed companies is increasing.For example,the first known Yinguangxia has “goodwill stocks”.The company is known as Lam Tin,Green Earth,and Wan Fusheng Branch,as well as the major financial frauds such as the Great Northern Wilderness and Zhangzi Island in the swirling public opinion in recent years.It is precisely because of the particularity of the agricultural listed companies' operations,the readjustment of the preparation of biological assets for impairment,and the opportunity for the natural natural disasters to be false,which has increased the probability of fraud in listed agricultural companies and exacerbated the auditing of the agricultural industry by certified public accountants.The authoritativeness of auditing intermediary agencies and CPA audits.Since the implementation of the new auditing standards,whether it can accurately identify and assess the risk of material misstatement of the audited company has gradually become a key factor in evaluating the auditing intermediary organization's audit quality and CPA professional competence.So far,although various scholars at home and abroad have made some relevant researches on audit risk and its assessment of major misstatement risks,most of the research on audit risk factors that are not considered comprehensively and related to the identification and analysis of major misstatement risks are qualitative.analysis.Even if there is a partial quantitative analysis,the quantitative research on the major wrong risk related to the agriculture industry is not perfect.The paper first studied and summarized the related financial and non-financial data of listed agricultural companies with misleading statements,false records,and major omissions penalized by the China Securities Regulatory Commission,the Shanghai Stock Exchange and the Shenzhen Stock Exchange from 2000 to 2016.Affect the general and specific risk factors in agricultural listed companies.Secondly,based on the above-mentioned factors affecting the risk of major misstatement,relevant specific index indicators of the listed non-compliant agricultural listed companies are given,and related indicator sets are established.Then,using the principal component analysis method to screen the index set of factors that affect the major risks of listed agricultural companies,and extract representative representative indicators of major misstatement risk factors,so as to simplify the main information reflected by the original complex factor indicators.Form factors that have a significant impact on the risk of material misstatement in order to assess the risk of material misstatement of listed agricultural companies.Thirdly,through the combination of qualitative analysis and quantitative analysis,the tomographic analysis method and the fuzzy comprehensive evaluation method evaluate the audit risk factor index system based on the risk of material misstatement and obtain the audit risk assessment results.Finally,through the collective case of Zhangzi Island,it is verified that CPAs in the actual work can identify and evaluate the risk of material misstatement of agricultural listed companies and then evaluate the audit risk with realistic operability and provide certain reference for auditing practice.