The Moderation Effect Of Investor Attention On The Relationship Between Key Audit Matters And Investor Decision-making

Independent audit plays an important role in maintaining the stability of the capital market.As the carrier of information sharing between the third-party certified public accountants and the users of the report information,the information content transmitted by the audit report will directly affect the response of the capital market.In 2016,the international auditing and assurance standards board(IAASB)proposed several major changes to the audit report model,including requiring third-party certified public accountants to disclose key audit matters(KAMs)in their audit reports,which refers to those audit matters involving particularly challenging,subjective or complex auditor judgments in the audit process.In order to test the value of key audit matters to investors and explore the implementation effect of the reform of audit standards,this paper puts forward research questions: how does the key audit matters affect the decision-making of investors and how investors' attention regulates the relationship between them.This paper reviews the research results of key audit matters and investors' decision-making,analyzes and puts forward research hypotheses based on information asymmetry theory,effective market theory and other theories,selects 338 variables according to the existing principles based on the financial data and market transaction data of Shanghai and Shenzhen listed companies from 2015 to 2016,and studies the investment of key audit matters of A+H listed companies The influence of decision-making;in order to study the regulatory role of investors' decision-making,investors' attention is introduced as the regulatory variable.Based on the financial data and market transaction data of Shanghai and Shenzhen listed companies from 2015 to 2016 as samples,122 observation variables are selected according to the existing principles to explore the regulatory role of investors' attention on key audit matters and investors' decision-making relationship.This paper uses the event study method to express the investors' decision-making behavior with the cumulative abnormal return rate of the stock price of the listed company,and constructs a double difference model to test the relationship between the key audit matters and the investors' decision-making as well as the regulatory effect of the investors' attention on the relationship between them.Through the relevant empirical analysis and verification,it comes to the conclusion that: in 2015-2016,the under the reform of accounting standards,the increase of key audit matters in the audit report provides investors with new value information for decision-making,reduces the abnormal rate of return of stock price,and ultimately promotes investors' rational decision-making.Investor attention positively adjusts the relationship between key audit matters and investors' decision-making.This paper analyzes the relevant results and puts forward corresponding suggestions.