The Impact On Audit Quality Of Public Accounting Firms' Merger Based On The Merger Of Ruihua Certified Public Accountants

Merger is the most effective way for Chinese accounting firms to expand their scale and improve their competitiveness.Since 1998,China's relevant regulatory authorities have issued a series of policies to encourage China's accounting firms to merge.So far,there have been three large-scale mergers.In order to gain a greater competitive advantage in the market and expand the market share,it can compete with the world's four largest companies.Under the guidance of the policy of China's local affairs office,the merger is also actively carried out.Many firms in order to meet the national policy and merge,however,led to many merged with the surface expands and essentially no corresponding increase,according to the relevant scholars,in all of China's firm merger,half of the merger are invalid.For related issues,the scholars to the firm after the merger of economic effect,the influence factors of audit quality and audit quality influence factors are discussed in detailed research,the relationship between for certified public accountants audit quality research combined most from the empirical perspective,the use cases and statistical methods to the problem of the research is less.So this paper USES case study combined with statistical analysis method,through to Ruihua certified public accountants changes before and after the merger of the related data were analyzed,and the merger of the Ruihua certified public accountants and auditing quality,the relationship between the research combined have what influence on audit quality,and put forward some proposals on the basis of the conclusion.Based on the theory of scale theory,reputation theory and rent theory,selecting Ruihua accounting firm merger as a case,case studies and statistical analysis method,contrast Ruihua certified public accountants audit fee from 2010 to 2016,steerability profits and non-standard opinion proportion change of three indicators,analyzing the change of the Ruihua certified public accountants audit quality before and after the merger.The conclusion of this paper is that the audit quality of Ruihua accounting firm has not improved significantly after the merger.The reasons are as follows:(1)insufficient recognition and response to the merger risk;(2)insufficient integration of customer resources after merger;(3)insufficient human resource integration after the merger;This paper has applicability for Chinese accounting firms to pay attention to the audit quality after the merger and pay attention to the integration of various aspects to improve the audit quality.