Study On Audit Risk Of Related Party Transactions Of X Firm

Since the economic globalization,the strength of Chinese enterprises has continued to increase,and the number of mergers and acquisitions among enterprises has increased.It is accompanied by the gradual increase in the number of related-party companies of the company,the frequency of related-party transactions is also increasing,and the related-party transactions of enterprises have been complicated Network-like.China’s related laws and regulations on related party transactions are still immature,leading companies to use loopholes in related party transactions for profit,and at the same time it also causes CPAs to face related party transaction audits facing great risks.Due to the imperfect laws that cause companies to conduct non-compliant operations in the field of related party transactions,the audit risk of registered accountants for related party transactions has also increased significantly.Therefore,related party transaction auditing has become an accounting firm’s control of audit risks under the new situation.This article summarizes the related concepts and theories of related party transactions and audit risk.On this basis,it studies the case of X accountant firm’s audit of related party transactions of T company,starting with the risk points found in the process of related party transaction audit Find the accurate related parties and the scope of transaction audit risk,analyze the audit risk points of related party transactions found,so as to analyze the causes of related party audit risks,and then find countermeasures to reduce risks.The beginning of this article explains the definition of audit risk and related party transactions.These theoretical levels of audit risk and related party transaction related concepts are the basis for the subsequent study of the specific risks and countermeasures of X accounting firm’s audit risk of T company’s related party transactions.Then,this article elaborated on the auditing of related transactions of X Certified Public Accountants.Including the introduction of X accountants’ profile and business profile and X accountants’ related party transaction audit situation,and in-depth analysis of X accountants’ related party transaction audit risk.Thirdly,X accountant firm audited the related party transaction audit of Company T as a case,and used entropy value method and AHP to analyze the specific cases in depth to find the causes of related party transaction audit risk.Finally,based on the analysis of this case,a solution to the audit risk of related party transactions of X Certified Public Accountants was obtained.