Research On Causes And Prevention Of Audit Risks In GEM

As an important part of China's capital market,GEM(Growth Enterprise Market)provides listing opportunities for technology-oriented and innovation-oriented enterprises with growth potential but lack of financing channels.Compared with the strict requirements of the main board market for the company's profitability and asset scale,the GEM attaches more importance to the company's development prospects and innovation ability.The threshold of GEM listing is relatively low,which means that it faces more complex and diverse risks in the audit process.Since the establishment of GEM in 2009,many enterprises have achieved development and growth through GEM listing.At the same time,due to the temptation of interests,such as Hailianxun,Xintai Electric and other GEM companies listed fraud cases,financial fraud cases occur frequently,repeatedly prohibited.This will not only make the illegal GEM listed companies and accounting firms become the target of public criticism,but also make investors lose confidence in the GEM market,endangering the healthy development of China's capital market.Facing the severe situation,it's of urgent and realistic significance to improve the quality of the GEM audit and prevent the GEM audit risk.This dissertation uses the combination of theoretical analysis and case study to analyze the causes and prevention measures of GEM audit risk.On the one hand,the author obtains the GEM system and the characteristics of listed companies through data analysis;On the other hand,the author starts with the case of Jinya Technology's financial fraud to identify the audit risk of Jinya Technology.Then,the author combines these two aspects of the research content and analyzes the causes of audit risks of Jinya Technology from the aspects of audit subject,audit object and supervision department.Finally,in view of the causes of audit risks found,the GEM audit risk prevention strategy is put forward comprehensively by the author,which has certain reference significance for GEM enterprises and related certified public accountants.