Research On The Improvement And Impact Of Audit Report Quality Based On The Improvement Of Standard Audit Reports

Audit report is a written report published by the auditor after auditing the financial statements of the audited units.It is an important way for the certified public accountant(CPA)and the users of financial statements of the enterprise to communicate the audit matters.It can strengthen the authenticity and reliability of the contents of the financial statements.In order to be in accordance with international auditing standards and make up for the shortage of the traditional audit report as soon as possible and maintain the stability of the capital market as the traditional audit report has a low information content and a large gap with the user's expectation.In December 23,2016,our country issued a new audit report standard.The audit report standard is an improved version different from the traditional standard audit report.This paper makes a case study on the first audit report of Chenming Paper,which uses the new audit reporting standards in China.It compares the audit report which has not been improved in the 2015 year of Chenming Paper and the improved audit report of the year 2016.It analysed from three aspects: the form of the audit report,the internal capacity of the audit report,and the clarity of the audit report responsibility.After the improvement of the audit report quality of Chenming Paper audit report,it has good effects on Chenming Paper itself,the accounting firm in issuing audit report for Chenming Paper and the social public.The impact on Chenming paper is as follows: establishing a good corporate image for Chenming Paper Industry;increasing transparency and decision-making relevance of enterprise information.The effects on the accounting firms are: improving the credibility of the accounting firms,increasing the audit cost of the accounting firms,and having higher requirements for the professional competence of CPA.The impact on the public is as follows: reducing the social public's investment risk and increasing the social public's understanding of audit work.At the end of this paper,the implications of the improvement effects of audit report quality on enterprises,accounting firms and the public are put forward.As an enterprise,it is necessary to improve the management level of the business,increase the internal supervision of the enterprise,transfer the good information of the enterprise through the key audit matters.As an accounting firm,it should improve professional competence and efficency of CPA.So as to reasonably control the audit cost and respond to the requirements of the improvement of the standard audit report in our country on the professional competence of CPA.