Research On Optimizing Audit Risk Control Of LX Accounting Firm

With the steady improvement of enterprise performance,the development of accounting firm industry is more and more strong,but it also faces great risks.As the process of global economic integration continues to accelerate,the business management risks of enterprises are increasingly exposed,which brings about the increasing audit risk of accounting firms,and the audit risk control problems of accounting firms are also exposed.According to the Announcement of the Ministry of Finance on the Quality Inspection of Accounting Information in 2017,administrative penalties and rectification suggestions were put forward for seven large-scale local accounting firms.It can be found that auditing risk of firms not only exists in small and medium-sized firms,but also in largescale firms with good reputation.In the inspection announcement,practicing quality,quality control and internal management problems exist in almost all accounting firms.These three aspects undoubtedly show that audit firms have serious problems in controlling audit risk.On August 6,2018,the SFC decided to punish one of the eight largest CITIC accounting firms in China.The reason is that there are various problems in the audit process of Jinya Science and Technology Company.It can be seen that the audit rectification of accounting firms in China is urgent at present.Therefore,we should pay attention to the related research on audit risk control.Therefore,this paper chooses LX accounting firm,one of the eight most representative local accounting firms,to conduct in-depth analysis of its audit risk status quo,to find out the specific problems and causes of its control,and to optimize the audit risk control of LX firms and put forward safeguards.On the one hand,to solve the existing risk control problems for LX accounting firms,help them improve their business capabilities,reduce audit risks to a certain extent,thereby improving the reputation of the firms;on the other hand,to put forward new research directions for the audit risk control of the entire audit industry,so that the audit industry can get a healthy development.This paper starts with the structure and process of the firm,then analyses its risk control system,and leads to the current situation of risk control.At the same time,combined with the business characteristics of our institute,we find the existing control problems,analyze the causes of the problems in risk control from multiple perspectives,and make a substantive analysis of the problems.It is concluded that there are some problems in the audit risk control of LX accounting firm,such as the lack of risk control in business acceptance,the lack of quality in business implementation,the poor effect of quality review and the lack of stability of audit business group.The reasons include the serious subjectivity of decision-making,the lack of effectiveness of risk control measures,the lack of a sound training system and business environment,which are subject to economic constraints.The core content of this paper is derived from the above problems and their causes.The optimization design of control is carried out from three aspects,including the optimization of business acceptance risk control,the optimization of process control of business plan,implementation and reporting,and the optimization of stability control of audit business group.To a certain extent,the optimization of these three aspects can solve the problem of weak audit risk control,which has a strong pertinence.