A Research On IPO Audit Risk And Control For H Company

As China's capital market plays an increasingly important role in the allocation and management of social wealth,enterprises' strong intention to go public for financing also leads to strong financial fraud motivation,leading to frequent IPO face-changing events.IPO financial fraud can not only mislead investors,seriously weaken the usefulness of financial information decision-making,but also fundamentally shake the credit foundation of the market economy,weaken and distort the function of resource allocation and capital raising of the securities capital market,and endanger the normal operation of the macro economy.For accounting firms and certified public accountants,the failure of auditing will not only face severe punishment from the CSRC,but also damage the confidence of the majority of investors in the auditing industry.It is also a fatal blow to the professional reputation of certified public accountants,and will seriously hinder the healthy development of the accounting firms and the CPA industry.Therefore,how to improve the audit quality,enhance the professional image of certified public accountants,and prevent and control audit risks has become a major practical problem to be solved in front of certified public accountants and accounting firms.Firstly,this paper compares IPO audit with general audit,and makes a theoretical study on IPO audit risk from the audit risk model and IPO audit characteristics.Then it summarizes the reasons for the enterprises' fraud in IPO audit in recent years and summarizes the practical guidance for the formation of financial fraud means.It also focuses on the characteristics and risk factors of PCB industry,and tries to design the auditing procedure for PCB industry.Secondly,the author took the IPO audit project of H company audited by L accounting firm that participated in personally as an example,based on the modern risk-oriented audit model and the risk research of PCB industry,analyzed the possible audit risks in the IPO audit project and the matters that should be paid close attention to to prevent and control risks.Finally,based on the inspiration received in this case,this paper tries to put forward Suggestions for risk prevention and control in actual business operation from the perspective of the firm,in order to help the China's capital market developing healthily.