The Audit Risk Prevention Of Fishery Biological Assets

With the development of economy and the improvement of capital market,more and more listed companies are listed in China,the areas involved are also broader.The certified public accountants are no longer facing just a single,low audit risk enterprise,the more is in the face of complex business diversity,cost accounting,the inventory difficult enterprises,the certified public accountant of our country occupation ability put forward higher requirements.In recent years,there have been a lot of financial fraud cases in the company,among which the agriculture,forestry,husbandry and fishery industry is the disaster area of financial fraud.These companies all have the same characteristics--biological assets are hard to take stock of.In particular,the biological assets of fishery enterprises are usually dozens of meters under the sea.It is very difficult and easy to be affected by natural disasters,leading to huge losses of enterprises.Therefore,the audit importance of biological assets is self-evident in the audit process.However,the particularity of biological assets caused the difficulty of natural to audit work,increase the auditing risk and liability of certified public accountants,therefore identify and prevent fishery biological assets of listed companies audit risk has become a very important job.The fishery company,formerly known as the “The first aquaculture stock ”,was listed on the Shenzhen stock exchange on September 28,2006,as "ZhangZi Island"(002069).On October 30,2014,ZhangZi island company announcement : "The company suffered decades of cold water mass in north yellow sea,more than 100 million mu Patinopecten yessoensis which were farming in 2011 and 2012 was extinction.Affected by this,the performance of the first three quarters of ZhangZi island was “big change”,and the forecast profit turned into a loss of about 800 million yuan,which is expected to be a huge loss for the whole year.History has always been surprisingly similar.On January 30,2018,the company added: " due to the increase in water temperature and the increase in the size of aquaculture,the food shortage will eventually lead to the death of scallops.It is expected to result in a full-year loss of 5.3 to 7.2 million yuan.According to the accounting system,these two announcements mentioned that the scallop is a kind of consumptive biological asset.This paper adopt literature analysis and case analysis with the combination of research methods,biological assets refer to the related works of literature of auditing theory as the foundation,with ZhangZi island event object as a case,analysis ZhangZi procurement,monitoring company about biological assets,inventory and other specific management link,to explore the risk factors of biological assets audit.Biological assets audit has been the difficulty in the audit practice work,the author hope that through analyze the ZhangZi island incident,to perfect the biological assets of listed companies for the certified public accountants audit work to in order to provide the reference.