A Study On Audit Failure Of Accounting Firms

With the development of market economy in our country entering a new era,the changes of capital market are changing with each passing day.As of December 2018,the number of listed companies has exceeded 3500.At present,the capital market is undergoing major institutional innovation.The Shanghai Stock Exchange is experimenting with the reform of the registration system for the establishment of scientific plates,and China's multi-level capital market system is developing rapidly.Gradually improve.The vigorous development of capital market has led to the increasing demand of public investors for accounting information of listed companies,especially for the quality of accounting information.As an important part of the quality of accounting information,audit opinions and reports provided by certified public accountants have naturally attracted much attention.However,in recent years,the successive failures of CPA auditing in the capital market have aroused serious doubts from the public investors about the CPA as the "gatekeeper" of the capital market,which has greatly damaged the reputation and credibility of the industry and affected the healthy development of the capital market.Based on this background,this paper studies the causes and effects of audit failure.It has certain theoretical and practical significance to put forward corresponding measures on how to prevent audit failure.Firstly,this paper introduces the research background,research significance,research methods and research contents.On the basis of the existing research results,this paper makes a literature review of the relevant theories of audit failure and its impact.By using the method of literature induction and case study,this paper makes a multi-angle analysis of the accounting firms published by the CSRC from 2001 to 2018.It also analyses the penalty announcement of CPA,deeply analyses the causes of audit failure of CPA,and puts forward corresponding preventive measures according to the specific situation.